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Business, 26.10.2019 05:43 desimond01

An outside supplier has offered to sell 24,000 units of part s-6 each year to han products for $24 per part. if han products accepts this offer, the facilities now being used to manufacture part s-6 could be rented to another company at an annual rental of $74,000. however, han products has determined that two-thirds of the fixed manufacturing overhead being applied to part s-6 would continue even if part s-6 were purchased from the outside supplier. required: what is the financial advantage (disadvantage) of accepting the outside supplier’s offer?

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An outside supplier has offered to sell 24,000 units of part s-6 each year to han products for $24 p...
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