Question: Paris Manufacturing that produces computer hard drives has had problems with hard drive defects in the past. The relevant information on their current inspection system

Paris Manufacturing that produces computer hard
Paris Manufacturing that produces computer hard drives has had problems with hard drive defects in the past. The relevant information on their current inspection system follows. Option A: Current Manual Inspection System Annual fixed cost $48,000 Inspection variable cost per unit - $11.00 A marketing representative of NEW-SPEC, a firm that specializes in providing manual inspection processes for other firms, approached Paris Manufacturing and offered to inspect parts for $19.50 each with no fixed cost. They assured Paris Manufacturing the accuracy and quality of their manual inspections would equal the automated Inspection system. Demand for the upcoming year is forecast to be 7,000 units. Should the manufacturer accept the offer? Use the Excel template Break-even to make your recommendation, Round your answer for the breakeven volume to the nearest whole number and round your answer for the amount of saving/loss to the nearest dollar Breakeven volume: hard drives Since the annual demand of 7,000 hard drives is - Select than the breakeven volume, the firm -Select accept the offer. They will - Select as by outsourcing

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