QUESTION 3 As the CEO of Hakoopian clothing company you want to decide whether to manufacture a particular product or ou

[answerhappygod]

Question 3 As The Ceo Of Hakoopian Clothing Company You Want To Decide Whether To Manufacture A Particular Product Or Ou 1 (44.84 KiB) Viewed 44 times

QUESTION 3 As the CEO of Hakoopian clothing company you want to decide whether to manufacture a particular product or outsource its production. Your business analysis team develops a spreadsheet model and uses Excel's What If analysis to analyze "Savings due to Outsourcing based on different scenarios. The results below are provided to you as the CEO N 10000 с D M 1 Parameters 2 Outsourcing Cost per unit 450 Savings due to outsourcing per prod. volume Savings due to outsourcing per prod. volume and outsource cost per unit 1 Prod. Vol. 5 14,500.00 514,500.00 $ 4.205 4.35 $ 450 $ 4655 4 Fred Cost 525,000.00 10000 $21.500 10000 524.500 57.000 $21.500 520,000 $1.500 5 Material cost per unit $ 2.15 20000 $11,000 20000 $24.000 $21,000 $12.000 $15.000 $12.000 6 Labor cost per unit $ 200 30000 514,500 3000 523,500 $19,000 $14.500 $10.000 55,500 7 $11,000 521.000 $17.000 511.000 55,000 151.000 8 Model 50000 $7.500 $22.500 $15.000 57.500 30 9 Production Volume SOON 60000 54.000 od $27.000 $13.000 54.000 SBC 10 70000 $5.00 70000 $21.500 $11,000 $500 10.00 120.000 11 Total Outsource Cost $ 135,000.00 1000 151000 $21.000 59.000 153.000 11.000 27.00 12 90000 150.500 0000 $20.500 57.000 SASO 20.000 11 Total Fixed Cou $ 25,000.00 100000 10.00 10000 $20.000 55.000 125.000 14 Total Material Cost $6.500.00 The outsourcing cost per uniti 54.50 mount 15 Total Labor Cout $ 60,000.00 The amount in porothers are report or lo The fine most comments the solume 16 Total Cost 5.349,500.00 Le column represent production volume The top rowerunt representouturing Cup 17 Right column reprimt Savings due to owing The amount in each carpet av de to bring LR Savings due to outsourcing 3.14,500.00 19 Assuming that you outsource the production of 50,000 units and the company to which you outsource charges you $4.50 per unit, based on the results above, how much will be the savings (or loss) due to outsourcing? Note: • Do not use the sign in your answer. For example, if there is a saving of 599, the answer is 99 • Use a negative sign before the amount to show that it is a loss. For example, if there is a loss of 599, the answer is 99. If there is a saving of 899, then the answer is 99