Business, 28.05.2020 03:57, akitchen10

Cierra, Inc. manufactures computer chips. Currently, the costs per unit are as follows: Direct materials $ 1.00 Direct labor 10.00 Variable manufacturing overhead 5.00 Fixed manufacturing overhead 8.00 Total $ 24.00 Chips Corp., has contacted Cierra with an offer to sell to Cierra 10,000 of the chips for $22.00 per chip. If Cierra accepts the proposal, $50,000 of the fixed overhead will be eliminated. Should Cierra make or buy the chips

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Cierra, Inc. manufactures computer chips. Currently, the costs per unit are as follows: Direct mater...