Question: Hello, I'm having trouble figuring this out. Can you help? Given the following data for a make-or-buy decision: Alternative Fixed Cost Variable Cost Buy $0

Hello, I'm having trouble figuring this out. Can you help?

Given the following data for a make-or-buy decision:

Alternative Fixed Cost Variable Cost

Buy $0 per year $8 per unit

Make $100K per year $4 per unit

What are total costs to buy a quantity of 15,000 units per year?

Please show formula so I can better understand.

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