Pane Company manufactures controls that are used in its manufacturing of air conditioners. The controls...
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Pane Company manufactures controls that are used in its manufacturing of air conditioners. The controls can be purchased from another firm for $35 each. The controls cost Payne $40 per unit to produce, of which 15 percent is allocated fixed overhead cost. To analyze a make/buy decision for these controls, the relevant cost comparison is $40 and $35, and the controls should be purchased. $40 and $35, and the controls should be manufactured. $35 and $34, and the controls should be purchased. 35 and $34, and the controls should be manufactured. one of the answers above is correct
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