If the company has no alternative use for the facilities being used to produce the carburetors, what
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Question:
If the company has no alternative use for the facilities being used to produce the carburetors, what would be the financial advantage disadvantage of buying carburetors from the outside supplier?
Should the outside suppliers offer be accepted?
Suppose if the carburetors were purchased, Troy Engines, Limited, could use the freed capacity to launch a new product with a segment margin of $ per year. Given this new assumption, what would be the financial advantage disadvantage of buying carburetors from the outside supplier?
Given the new assumption in requirement should the outside suppliers offer be accepted?
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