What is the cost savings if the company makes the robots, Accounting Basics

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What is the cost savings if the company makes the robots

Wishnell Toys can make 1,000 toy robots with the following costs:

Direct Materials $70,000
Direct Labor 26,000
Variable Overhead 15,000
Fixed Overhead 15,000

The company can purchase the 1,000 robots externally for $120,000. The avoidable fixed costs are $5,000 if the units are purchased externally. What is the cost savings if the company makes the robots?

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Accounting Basics: What is the cost savings if the company makes the robots

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Recent Questions Asked Accounting Basics

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Accounting Basics: What is the cost savings if the company makes the robots

Reference No:- TGS091550

Recent Questions Asked Accounting Basics

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Q : Purpose of job-based structures

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