18. (7 points) King Corp. uses 10,000 units of Part X in its production cycle. King...

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18. (7 points) King Corp. uses 10,000 units of Part X in its production cycle. King can make or buy Part X. King's manufacturing costs for Part X are as follows: Per Unit Direct materials Direct labor Variable overhead Fixed overhead applied King Manufacturing Cost $ 10 24 12 10 $ 56 If King buys Part X externally, the cost is $55 per unit and 30% of fixed overhead applied can be eliminated. Answer the questions below for this make or buy decision. a. What is the relevant cost per unit to make the part internally? b. What is the Should King make or buy Part X? Show and label your support calculations. c. Identify one important qualitative (non-financial) factor companies should consider when making decisions about outsourcing work to other companies? 18. (7 points) King Corp. uses 10,000 units of Part X in its production cycle. King can make or buy Part X. King's manufacturing costs for Part X are as follows: Per Unit Direct materials Direct labor Variable overhead Fixed overhead applied King Manufacturing Cost $ 10 24 12 10 $ 56 If King buys Part X externally, the cost is $55 per unit and 30% of fixed overhead applied can be eliminated. Answer the questions below for this make or buy decision. a. What is the relevant cost per unit to make the part internally? b. What is the Should King make or buy Part X? Show and label your support calculations. c. Identify one important qualitative (non-financial) factor companies should consider when making decisions about outsourcing work to other companies?