One of the most popular phone accessory companies, Swifty, has a reputation for unique designs...
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One of the most popular phone accessory companies, Swifty, has a reputation for unique designs for its phone cases. its cases fit any version of all the prominent manufacturers' phones. The competition in this market is becoming fierce, with phone manufacturers spending big money on their own accessories. Swifty is unsure if it should continue to manufacture the phone cases or outsource thein to simplify operations. Manufacturing costs for Switty are as follows; these costs support one cycle of production that yields 1,300 phone cases: If Swifty decides to purchase the cases, $52,360 of the fixed MOH costs will be unavoidable. (a) At what price would Swifty be indifferent about making its own phone cases versus buying from a supplier? (Round answer to 2 decimal places, es. 15.25.) Price per case (c) If Swifty could purchase similar quality phone cases from a supplier for $24 each. how much additional savings would it need to find in its fixed costs for this to be an equally attractive quantitative option? Additional savings
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