Question: Answer the following questions. 1. Douglas Computers makes 5,800 units of a circuit board, CB76 at a cost of $270 each. Variable cost per unit
Answer the following questions. 1. Douglas Computers makes 5,800 units of a circuit board, CB76 at a cost of $270 each. Variable cost per unit is $170 and fixed cost per unit is $100. Peach Electronics offlers to supply 5,800 units of CB76 for $250. If Douglas buys from Peach it will be able to save $10 per unit in fixed costs but continue to incur the remaining $90 per unit. Should Douglas accept Peach's offer? Explain. 1. Douglas Computers makes 5.800 units of a circuit board, C876 at a cost of $270 each. Variable cost per unit is $170 and fxed cost per unit is $100. Peach Electronics offers to supply 5,800 units of C876 for $250. If Douglas buys from Peach it will be able to save $10 per unit in fixed costs but continue to incur the remaining $90 per unit. Should Douglas accept Peach's offer? Explain. Begin by calculating the relevant cost per unit. (If a box is not used in the table, leave the box empty, do not enter a zero.) Make Buy Relevant costs: Unit relevant cost Douglas Computers should Peach's offer. When comparing relevant costs between the choices, Peach's offer price is to produce. than the cost to continue Choose from any list or enter any number in the input fields and then continue to the next
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