Samson company is in dilemma whether to make the component Z or Buy it from the outside supplier. The Component Z is available in the market at $ 35.25 per unit. If Samson company want to do in house...

Samson company is in dilemma whether to make the component Z or Buy it from the<br>outside supplier. The Component Z is available in the market at $ 35.25 per unit.<br>If Samson company want to do in house production then following cost will be incurred<br>The breakdown of which is given below :-<br>Unit cost(S)<br>Materials<br>9.50<br>Labour<br>11.75<br>Variable overheads<br>Depreciation and other fixed cost 5.25<br>Total<br>12.85<br>39.35<br>Should the company make or buy the component?<br>

Extracted text: Samson company is in dilemma whether to make the component Z or Buy it from the outside supplier. The Component Z is available in the market at $ 35.25 per unit. If Samson company want to do in house production then following cost will be incurred The breakdown of which is given below :- Unit cost(S) Materials 9.50 Labour 11.75 Variable overheads Depreciation and other fixed cost 5.25 Total 12.85 39.35 Should the company make or buy the component?

Jun 02, 2022

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Samson company is in dilemma whether to make the component Z or Buy it from the outside supplier. The Component Z is available in the market at $ 35.25 per unit. If Samson company want to do in house...

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