Direct wages 40\\nupervision- avoidable if manufacture discontinued 10\\nFloor space occupancy 7\\nThe assemblies could be purchased for $ 6.10 each from an outside supplier. If this was done, the floor space vacated could be used for storage purposes, saving warehouse rent and transport costs of $ 18 000 per annum.\\nShould the company continue to assemble the component, or buy it from the outside supplier? (Please type answer fast).

Direct wages 40\\nupervision- avoidable if manufacture discontinued 10\\nFloor space occupancy 7\\nThe assemblies could be purchased for $ 6.10 each from an outside supplier. If this was done, the floor space vacated could be used for storage purposes, saving warehouse rent and transport costs of $ 18 000 per annum.\\nShould the company continue to assemble the component, or buy it from the outside supplier? (Please type answer fast).

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter15: Managing Short-term Assets

Section: Chapter Questions

Problem 17PROB

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