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Simmons Inc. can produce 100 units of a component part with the following costs: If...

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Accounting

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Simmons Inc. can produce 100 units of a component part with the following costs: If Simmons Inc. can purchase the component part externally for $345,000 and only $28,000 of the fixed costs can be avoided, what is the correct make-or-buy decision? a) Buy and save $4,000 b) Buy and save $32,000 c) Make and save $2,000 d) Make and save $99,000

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