Question: 4 28 ints Exercise 6-13A (Static) Outsourcing decision affected by opportunity costs LO 6-3 Omron Electronics currently produces the shipping containers it uses to deliver

4 28 ints Exercise 6-13A (Static) Outsourcing decision affected by opportunity costs LO 6-3 Omron Electronics currently produces the shipping containers it uses to deliver the electronics products it sells. The monthly cost of producing 10,000 containers follows. Unit-level materials $ 7,500 Unit-level labor 8,250 eBook Unit-level overhead 5,250 Product-level costs* 13,500 Allocated facility-level costs 33,000 Hint References *One-third of these costs can be avoided by purchasing the containers. Russo Container Company has offered to sell comparable containers to Omron for $3.00 each. Required a. Calculate the total relevant cost. Should Omron continue to make the containers? b. Omron could lease the space it currently uses in the manufacturing process. If leasing would produce $8,000 per month, calculate the total avoidable costs. Should Omron continue to make the containers? a. Total relevant cost Should Omron continue to make the containers? b. Total avoidable cost Should Omron continue to make the containers

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