Landed costs are independent of sales/FOB terms.

An advancement officer is compiling a list of the organization's alumni. Which step of the fund-raising process is the officer performing?

A) sorting
B) soliciting
C) stewarding
D) prospecting

Grouperman Corporation currently manufactures a subassembly for its main product. The costs per unit are as follows: $$\begin{array}{lr}\text{ Direct materials }& \$10\\ \text{ Direct labor }& 10\\ \text{ Variable overhead }& 7\\ \text{ Fixed overhead }& \underline{9}\\ \text{ Total }& \underline{\underline{\$36}}\end{array}$$ Fez Company has contacted Grouperman with an offer to sell it 7000 of the subassemblies for $30 each. If Fez makes the subassemblies $4 of the fixed overhead per unit will be allocated to other products.
Instructions
Should Grouperman make or buy the subassemblies? Explain your answer.