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##### Reference no: EM13115331

Hungry Bites produces corn chips. The cost of one batch is below: Direct materials \$18; Direct labor 13.00; Variable overhead; 11.00; and Fixed overhead 14.00. An outside supplier has offered to produce the corn chips for \$25 per batch. How much will Hungry Bites save if it accepts the offer?

a) \$2.00 per batch

b) \$17.00 per batch

c) \$31.00 per batch

d) \$6.00 per batch

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