Question: A restaurant bakes its own bread for $164 per unit (100 loaves), including fixed costs of $31 per unit. A proposal is offered to purchase

A restaurant bakes its own bread for $164 per unit (100

A restaurant bakes its own bread for $164 per unit (100 loaves), including fixed costs of $31 per unit. A proposal is offered to purchase bread from an outside source for $101 per unit, plus $12 per unit for delivery. Prepare a differential analysis dated August 16, 2014, to determine whether the company should make (Alternative 1) or buy (Alternative 2) the bread, assuming fixed costs are unaffected by the decision

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