Question: Answer it with calculations Unlt exercise 4 1. What is the product-by-value analysis and explain the applications of this analysis in evaluating the product strategies?

Answer it with calculations
Answer it with calculations Unlt exercise 4 1.
Unlt exercise 4 1. What is the product-by-value analysis and explain the applications of this analysis in evaluating the product strategies? 2- A company wants to know whether to make-or-buy an item for one of their products. It is projected that this item will sell for $10 each. If the item is outsourced, there is virtually no cost other than the $6 per unit that they would pay their supplier. Internally, they have two choices. Process 1 requires an investment of $120,000 for design and equipment, but results in a $4 per unit cost. Process 2 requires only a $100,000 investment, but its per unit cost is $5. Regardless of whether the item is subcontracted or produced internally, there is a 50% chance that they will sell 50,000 units, and a 50% chance that they will sell 100,000 units. Draw the decision tree appropriate to the alternatives and outcomes stated. Using decision trees and EMV, what is their best choice

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