flexibility.

Part two:

Reconsidering the TechVision data in part $1,$ assume that the plant has $1,250$ employees and maintains a no$-$layoff policy. Overtime is limited to $20$ hours per employee per month. A third party has presented an offer to produce smart devices as needed at a cost of $$26$ per unit, which includes component costs of $$20$ per unit.

e$.$ Determine the average per unit cost of in$-$house production, including inventory holding and overtime costs, if the third party is not utilized.

f$.$ Explore how TechVision should utilize the third party. How does your response change if the third party offers a reduced price of $$25$ per unit?

g$.$ Evaluate whether TechVision should engage the third party if the per unit cost is $$28.$

h$.$ Discuss the reasons why TechVision might opt for the third party even when the per unit cost is higher than the average per unit cost $($including inventory holding and overtime$)$ for in$-$house production.