Erry inc. manufactures machine parts for aircraft engines. ceo bucky walters is considering an offer from a subcontractor to provide 2,000 units of product op89 for $108,000. if terry does not purchase these parts from the subcontractor, it must continue to produce them in-house with these costs: cost per unit direct materials $ 27 direct labor 16 variable overhead 14 allocated fixed overhead 6 required: 1. what is the relevant cost per unit to make the product internally? 2. what is the estimated increase or decrease in short-term operating profit of producing the product internally versus purchasing the product from a supplier?

Annuity payments are assumed to come at the end of each payment period (termed an ordinary annuity). however, an exception occurs when the annuity payments come at the beginning of each period (termed an annuity due). what is the future value of a 13-year annuity of $2,800 per period where payments come at the beginning of each period? the interest rate is 9 percent. use appendix c for an approximate answer, but calculate your final answer using the formula and financial calculator methods. to find the future value of an annuity due when using the appendix tables, add 1 to n and subtract 1 from the tabular value. for example, to find the future value of a $100 payment at the beginning of each period for five periods at 10 percent, go to appendix c for n = 6 and i = 10 percent. look up the value of 7.716 and subtract 1 from it for an answer of 6.716 or $671.60 ($100 × 6.716)

If a society decides to produce consumer goods from its available resources, it is answering the economic question

If you owned a restaurant would you manage it yourself or i or someone to manage it for you