Able Elf Services has offered to do all the toy assembly and gift wrap for Santa's elves. The annual fee for this service is $23,500. This outside service will replace 10 elves who work for $5 per hour, 50 hours per week. The operation is open for 10 weeks. Giftwrap costs about $3,000 per holiday season but will be paid separately by Santa regardless of his course of action. Should Santa replace his elves with an outsourced toy assembly / gift wrap company? Draft a memo to the North Pole suggesting the proper course of action. You can address qualitative and quantitative factors.