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Business, 09.09.2021 21:20 savidgarcia303

A global manufacturer of air conditioning units (ACUs) is considering outsourcing the manufacturing of a fan used in the manufacturing of units. The company estimates that the annual fixed cost of manufacturing the part in-house, which includes equipment, maintenance, and management, amounts to $9 million. The variable cost of labor and materials are $12.00 per breaker. The company has an offer from a major subcontractor to produce the part for $17.00 per fan. The company should consume more than fans per year to make the manufacturing the part in-house option the least costly. (Enter your response rounded to the nearest whole number.)

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