Question: Cool Systems manulactures an optical switch that it uses in its final product. Another company has offered to sell Cool Systems the switch for $1500
Cool Systems manulactures an optical switch that it uses in its final product. Another company has offered to sell Cool Systems the switch for $1500 per unit. None of Cools fixed costs are avoidable. (Click the icon to view the outsourcing decision) Cool Systems needs 79,000 opsical switches. By outsourcing them, Cool Systems can use its idle facilites to manufacture another product that will contribute $225,000 to operating income. Read the requirements Requirement 1. Identify the expected net costs that Cool Systems will incur to acquire 79,000 switches under three alfemative plans Requirement 2. Which plan makes the best use of Cool System's fachities? Support your answer Cool Systems : icause this plan results in the lowest However. Cool Systems should also consider qualitative factors such as and Data table
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