Solution-What the opportunity cost of buying part a from

What the opportunity cost of buying part a from the supplier

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Reference no: EM133017624

Question - Marigold Company uses 10600 units of Part A in producing its products. A supplier offers to make Part A for $6. Marigold Company has relevant costs of $9 a unit to manufacture Part A. If there is excess capacity, what the opportunity cost of buying Part A from the supplier?

a. $31800.

b. $95400.

c. $63600.

d. $0.

Reference no: EM133017624

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What the opportunity cost of buying part a from the supplier

Reference no: EM133017624

Reference no: EM133017624

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