Materials used by Ford Company in producing Division A's product are currently purchased from outside suppliers at a cost of $30 per unit.However,the same materials are available from Division B.Division B has unused capacity and can produce the materials needed by Division A at a variable cost of $20 per unit.

Question

Materials used by Ford Company in producing Division A's product are currently purchased from outside suppliers at a cost of $30 per unit.However,the same materials are available from Division B.Division B has unused capacity and can produce the materials needed by Division A at a variable cost of $20 per unit.
Materials used by Ford Company in producing Division A's product are currently purchased from outside suppliers at a cost of $30 per unit.However,the same materials are available from Division B.Division B has unused capacity and can produce the materials needed by Division A at a variable cost of $20 per unit.

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The Answer of Materials used by Ford Company in producing Division A's product are currently purchased from outside suppliers at a cost of $30 per unit.However,the same materials are available from Division B.Division B has unused capacity and can produce the materials needed by Division A at a variable cost of $20 per unit.

Materials Used by Ford Company in Producing Division A's Product