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9) Make or Buy Decision: Cutler Company currently buys 30,000 units of a part used to manufacture its product at $76 per unit. The supplier
9) Make or Buy Decision: Cutler Company currently buys 30,000 units of a part used to manufacture its product at $76 per unit. The supplier recently informed Cutler Company that a 20 percent increase will take effect next year. Cutler has some additional space and could produce the units for the following per-unit costs (based on 30,000 units): If Cutler purchases the units from the supplier, Cutler can rent out the plant for $40,000 per year. Should Cutler Company buy the part externally or make it internally? Use differential analysis to support your answer. (5Pts.)
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