Question: [Question 4] (Make or buy) A rm manufactures components BK200 and the costs for the current production level of 50 000 units are: Cost/Unit $

[Question 4] (Make or buy) A rm manufactures components BK200 and the costs for the current production level of 50 000 units are: Cost/Unit $ Materials 2.50 Labour 1.25 Variable overheads 1.75 Fixed overheads 3.50 Total costs 2.0 Component BK 200 could be bought in for $7.75 and if so, the production capacity utilized at present would be unused. Assuming that there are not overriding technical considerations, should BKZOO be bought in or manufactured

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