Annual fixed costs are $900,000 and $800,000 for outsourcing and insourcing, respectively, and variable costs are $28 and $32 for outsourcing and insourcing, respectively. If current annual demand is 22,000 units, by how much must demand increase in order for outsourcing to become cheaper?

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The Answer of Annual fixed costs are $900,000 and $800,000 for outsourcing and insourcing, respectively, and variable costs are $28 and $32 for outsourcing and insourcing, respectively. If current annual demand is 22,000 units, by how much must demand increase in order for outsourcing to become cheaper?

Annual Fixed Costs Are $900,000 and $800,000 for Outsourcing and Insourcing