PR. 9 1. LOST CM 350,000.

00
AVOIDABLE DELIVERY COST (105,000.00)
SALARIES OF DIVISION MANAGER (75,000.00)
RENT (85,000.00)
NET ADVANTAGE OF CONTINUING 85,000.00

2. TOTAL AVOIDABLE FC 180,000.00

RENT 85,000.00
TOTAL 265,000.00
CM RATIO 0.1944
SHUTDOWN POINT 1,363,168.72

PR. 10 1. COST TO BUY 60,000,000.00

COST TO MAKE
DM (139*50000*5) 34,750,000.00
DL (49.5*50000*5) 12,375,000.00
VOH (32.25*50000*5) 8,062,500.00
SUPERVISORY 1,000,000.00
LEASE 570,000.00
EQUIPMENT 5,000,000.00
TOTAL 61,757,500.00
NET DISADVANTAGE (1,757,500.00)

2. COST TO BUY 72,000,000.00

COST TO MAKE
DM (139*60000*5) 41,700,000.00
DL (49.5*60000*5) 14,850,000.00
VOH (32.25*60000*5) 9,675,000.00
SUPERVISORY 1,000,000.00
LEASE 570,000.00
EQUIPMENT 5,000,000.00
TOTAL 72,795,000.00
NET DISADVANTAGE (795,000.00)

3. COST TO BUY 90,000,000.00

COST TO MAKE
DM (139*75000*5) 52,125,000.00
DL (49.5*75000*5) 18,562,500.00
VOH (32.25*75000*5) 12,093,750.00
SUPERVISORY 1,000,000.00
LEASE 570,000.00
EQUIPMENT 5,000,000.00
TOTAL 89,351,250.00
NET ADVANTAGE 648,750.00

PR. 11 1. X Y Z
SP 40.00 30.00 35.00
VC 24.00 16.00 20.00
CM 16.00 14.00 15.00
MH 5.00 7.00 4.00
CM/MH 3.20 2.00 3.75
PRIORITY 2ND 3RD 1ST
PRODUCTION 2,000.00 5,000.00
CONSUMED 10,000.00 20,000.00

2. 3.20

PR. 12 1. VC 65.00
RENT 12.50
MAX. AMOUNT 77.50

2. COST TO MAKE 310,000.00

COST TO BUY 320,000.00
DIFFERENCE IN FAVOR OF MAKING (10,000.00)

2. COST TO MAKE 340,000.00

COST TO BUY 320,000.00
DIFFERENCE IN FAVOR OF BUYING 20,000.00