Blue Ridge Bicycles uses a standard part in the manufacture of several of its bikes. The cost of producing 40 comma 000 parts is $ 138 comma 000, which includes fixed costs of $ 69 comma 000 and variable costs of $ 69 comma 000. The company can buy the part from an outside supplier for $ 3.70 per unit, and avoid 30% of the fixed costs. Assume that factory space freed up by purchasing the part from an outside source can be used to manufacture another product that can be sold for $ 16 comma 000 profit. If Blue Ridge Bicycles makes the part, what will its operating income be?

While cell phones with holographic keyboards are currently in the introduction stage of the industry life cycle, tablet computers are in the growth stage. in the context of this scenario, which of the following statements is true? a. the industry for cell phones with holographic keyboards will face greater competition than the tablet industry. b. while the industry for cell phones with holographic keyboards will focus more on product innovation, the tablet industry will focus more on process innovation. c. while the industry for cell phones with holographic keyboards can reap the benefits of economies of scale, the tablet industry will experience no such benefits. d. the industry for cell phones with holographic keyboards will face price competition, whereas, in the tablet industry, the mode of competition will be non-price.