Final answer:
To determine the minimum price at which Sheffield would be indifferent about making its own phone cases versus buying from a supplier, compare the cost of production for Sheffield and the cost of purchasing from a supplier.
Step-by-step explanation:
In order to determine the minimum price at which Sheffield would be indifferent about making its own phone cases versus buying from a supplier, we need to compare the cost of production for Sheffield and the cost of purchasing from a supplier. Let's assume the cost of production for Sheffield is $X per phone case and the cost of purchasing from a supplier is $Y per phone case.
For Sheffield to be indifferent, the cost of production must be equal to the cost of purchasing. Therefore, we can set up the following equation: $X = $Y.
Once we have the values for $X and $Y, we can determine the minimum price at which Sheffield would be indifferent about making its own phone cases versus buying from a supplier.