Question: Stanley Inc., has a need for a specific component in there manufacturing process. They has requested bids from three of it's subcontractors. Company A has

Stanley Inc., has a need for a specific component in there manufacturing process. They has requested bids from three of it's subcontractors. Company A has an initial cost of $47,500.00 and variable costs of $76.00 per unit. Company B has an initial cost of $66,000 and variable costs of $56.75 per unit. Company C has an initial cost of $75,000 and variable costs of $51.50 per unit.
a. What are the crossover points? A:B [ Select ]["961","120","1,122","757"] ; A:C[ Select ]["2,319","961","865","1,122"] ; B:C[ Select ]["1,714","1.816","967","2,178"]
b. At what output does Company B become less expensive than Company A?[ Select ]["over 961", "below 961", "between 961 and 1,714","B is never less expensive compared to A"]
c. At what output does Company C become less expensive than Company B?[ Select ]["below 1,714", "over 1,122","it is never less expensive based on variable cost", "over 1,714"]
d. The forecasted amount of components required for the manufacturing process is 1,500 units, which company should Stanley Inc. choose? [ Select ]["Company C", "Company A", "Company B", "either A or C based on the crossover points"], and what is the cost? [ Select ]["$149,750.25","$151,125.00","$152,500.50","$147,300.00"]

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