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PROBLEM 7-2. Incremental Analysis of Outsourcing Decision [LO 1, 2, 4] Oakland College is considering outsourcing grounds maintenance. In this...
Oakland College is considering outsourcing grounds maintenance. In this regard, Oakland has received a bid from Highline Grounds Maintenance for $295,000 per year. Highline states that its bid will cover all services and planting materials required to “keep Oakland’s grounds in a condition comparable to prior years.”Oakland’s cost for grounds maintenance in the preceding year were $302,000 as follows:Please see attached document for proper formatting.