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Business, 03.08.2021 21:10 alexandrarosete7

MC Qu. 161 Division X makes a part... Division X makes a part with the following characteristics: Production capacity 32,000units Selling price to outside customers$32 Variable cost per unit$25 Fixed cost, total$107,000 Division Y of the same company would like to purchase 10,070 units each period from Division X. Division Y now purchases the part from an outside supplier at a price of $31 each. Suppose Division X has ample excess capacity to handle all of Division Y's needs without any increase in fixed costs and without cutting into sales to outside customers. If Division X refuses to accept the $31 price internally and Division Y continues to buy from the outside supplier, the company as a whole will be:

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MC Qu. 161 Division X makes a part... Division X makes a part with the following characteristics: Pr...
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