Discuss the below:
Q: The Really Big Six Corporation will hire 1,000 new accoun- tants this year. Managers are considering whether to make or to buy office furniture for the new hires. Big can purchase office furniture for $2,000 per accountant, or it can makethe desks itself. Equipment to assemble furniture can be scrounged from the company's carpentry shop. That old equipment has already been fully depreciated . Materials cost $500 per desk, and labor (and benefits) costs $30 per hour. Big hired a local shop to build a prototype desk. That desk re- quired 100 hours of labor. If the learning curve is 90 percent, should Big make or buy the desks?