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(Solution) - Refer to the facts in Exercise 11 24 University Printers estima

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Refer to the facts in Exercise 11-24. University Printers estimates that the variable costs in the Personnel Department total $20,000 and in the Maintenance Department variable costs total $8,750. Avoidable fixed costs in the Personnel Department are $6,000.

If Warren outsources the Personnel Department functions, what is the maximum they can pay an outside vendor without increasing total costs?


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This question was answered on: Jul 11, 2017

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