Northampton Technical College is looking to outsource publication of its technical manuals. They are looking at three
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Question:
Northampton Technical College is looking to outsource publication of its technical manuals. They are looking at three possible suppliers: Staples, OfficeMax, and Ken's Stationary. Each requires an annual deposit in order to assure 12-hr turnaround time on any order of technical manuals. Consider this deposit to be the equivalent of a fixed cost. The costing data for each supplier are given below.
If this contract was between OfficeMax and Ken's Stationary, at what level of sales would the cost be equivalent between the two?
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