. Differential analysis problem and essay/analysis. There are a three parts to t

Question

. Differential analysis problem and essay/analysis. There are a three parts to the question.

Decision: Make a thermos of coffee every day, or buy that Mucho Grande Latte @ $3.75?

1. You work 5 days per week for 40 weeks per year, and you plan to stay at your job for 15 years.

2. a 1 pound can of Don Juan Columbo coffee costs $24 per can, and it can make 10 thermoses of coffee.

3. You use 1/2 cup (4 oz) of regular milk per thermos. A quart of milk (32 oz) costs $1.60.

4. A thermos costs $25 and you will probably have to replace you thermos once every 2 years.

5. It takes you 15 minutes to make a thermos of coffee (including waiting time, while you are getting dressed); it also takes you 15 minutes to buy a Mucho Grande Latte from Moonbux (including parking and waiting). You make $40 per hour.


a) ----What is the net incremental cost between making coffee and buying coffee over the whole period?

Important: Show your answer in this format, with ALL supporting work shown below your final answer, as noted

$____________________in favor of _______________________.

b) --List the Quantitative factors which might be missing from this problem, and indicate how they would influence your answer (in favor of Make or Buy)

1.___________________________________________________________________

2.___________________________________________________________________

3;___________________________________________________________________

_____________________________________________________________________

_____________________________________________________________________

c. --List the Qualitative factors which might influence your decision to Make or Buy
1.___________________________________________________________________

2.___________________________________________________________________

3;___________________________________________________________________

_____________________________________________________________________

Explanation / Answer

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