a radio manufacturing fund that while it cost 6.25 per unit to make a component ,the same is avaoilable in the market at 5.75 each. Continous supply is also fully assured . The break up of cost per unit is as follows Material : 2.75, Labour 1.75, Other variable expenses 0.50 , depreciation and other fixed costs 1.25 . the best option for the manufacturer will be

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