Need to pay for the virus protection license

Reference no: EM131067300

X Company is considering outsourcing its email system. Total costs related to last month's in-house email operation, when there were 3,725 employee mailboxes, were as follows

Variable costs:
Email license	$18,625
Virus protection license	5,215
Miscellaneous	16,390
Fixed costs
Computer hardware	24,585

$10,326 of the computer hardware costs were common costs that will continue even if the email system is abandoned, and X Company will still need to pay for the virus protection license. Y Company has offered to operate an email system for X Company for $11.10 per mailbox. Next year, X Company estimates that 4,190 mailboxes will be required per month.

By how much will X Company's monthly profits change if they decide to outsource its email function to Y Company instead of managing the service internally? [A positive number means that make costs are more than buy costs; a negative number means that make costs are less than the buy costs.]

Reference no: EM131067300

Questions Cloud

Gravitational potential energy : A 10 lb. bowling ball rests on a shelf in a bowling alley. Another 10lb. ball sits on the floor below the shelf. Which of the bowling balls contains more gravitational potential energy?

Constant angular acceleration : A dentist's drill starts from rest. After 7.28 s of constant angular acceleration it turns at a rate of 31540 rev/min.Find the drill's angular acceleration.Answer in units of rad/s 2.

Do you agree or disagree with what the data is showing : Find a current article on social media that discusses different gender balance on different social networking sites. Based on your experience, do you agree or disagree with what the data is showing?

Calculate the maximum torque : The volts/hertz ratio, which corresponds to the rated voltage and rated frequency, is maintained constant. Calculate the maximum torque and the corresponding speed for 60Hz and 30Hz.

Need to pay for the virus protection license : X Company is considering outsourcing its email system. Total costs related to last month's in-house email operation, when there were 3,725 employee mailboxes, were as follows

Find out which solid it is and give a physical explanation : Find out which solid it is and give a physical explanation for it.

Entrance of a science museum features a funnel : The entrance of a science museum features a funnel into which marbles are rolled one at a time. The marbles circle around the wall of the funnel, eventually spiraling down into the neck of the funnel. The internal radius of the funnel at the top i..

Describe how the organization is using social media : Research and find examples of how your organization (past, present or one you want to join) achieves its social media presence, and describe how the organization is using social media.

Speed of the clay and turntable : A clump of clay of mass 4.9 kg is dropped onto the turntable and sticks at a point 1.5 m from the point of rotation. Find the angular speed of the clay and turntable. Answer in units of rad/s.

User Account

All Pages