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Business, 01.07.2021 01:20 hannahliebl2000

Jansung Company manufactures 5,000 telephones per year. The full manufacturing costs per telephone are as follows: Direct materials $ 2 Direct labor 8 Variable manufacturing overhead 5 Average fixed manufacturing overhead 5 Total $20 Telecom America has offered to sell Jansung Company 5,000 telephones for $20 per unit. If Jansung Company accepts the offer, $12,500 of fixed overhead will be eliminated. Applying differential analysis to the situation, should Jansung Company make or buy the phones

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Jansung Company manufactures 5,000 telephones per year. The full manufacturing costs per telephone a...
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