Question: Question 2: You are a Procurement Management and you need to decide whether the new product should be made in-house at one of the Canadian

Question 2: You are a Procurement Management and
Question 2: You are a Procurement Management and you need to decide whether the new product should be made in-house at one of the Canadian sites or whether to out-source the production to a preferred third party manufacturer Calculate the Make or Buy Analysis to support your professional opinion to advise the teams Expected Annual Quantity Variable Cost per Unit Annual Fixed Costs Make 204,800 $ 7.39 $ 43.100 Buy 204,800 S 11.25 2.a) What is the strategy - MAKE or BUY? Worth 4 marks 2.b) What is the Annual cost saving from the strategy from 2.a? Worth 2 marks

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