The Vera Molding company has two alternatives for meeting a customer requirement for 8,700 units of a specialty molding. If done in-house, fixed cost would be $476,000 with variable cost at $40 per unit. Alternative two is to outsource for a total cost of $110 per unit.
What is the break-even quantity? Round your answer to the nearest whole number.

units

Should the firm make the 8,700 units in-house or outsource?

Firm should produce the molding
by outsourcing
.