Practical Management Science
6th Edition
ISBN: 9781337406659
Author: WINSTON, Wayne L.
Publisher: Cengage,
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Concord, Inc. is unsure of whether to sell its product assembled or unassembled. The unit cost of the unassembled product is $12, while the cost of assembling each unit is estimated at $14. Unassembled units can be sold for $59, while assembled units could be sold for $65 per unit. What decision should Concord make?
Process further; the company will save $8 per unit.
Sell before assembly; the company will save $8 per unit.
Sell before assembly; the company will save $4 per unit.
Process further; the company will save $6 per unit.
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