Solve the following Make in-house or outsource decision model using Monte Carlo Simulation of Data Table.The production level has to be set equal to demand. Demand and unit variable cost are assumed to follow a normal distribution (demand mean = 1050, with standard deviation = 90; and unit variable cost mean = 130 with standard deviation of 18. Make 1000 trials to simulate demand to find out the approximate probability to meet the demand through in-house production.

function

Data
Manufactured in-house
Fixed cost	$50,000
Unit variable cost
Purchased from supplier
Unit cost	$190
Production volume
Model
Total manufacturing cost
Total purchased cost
Cost difference
Decision (manufacture/ outsource)

		approximately 40 to 60%
		approximately 55 to 70%
		approximately 70 to 80%
		approximately 40 to 60%
		Above 60%