ABC Company uses a component G28 in its production cycle.
The following information is available:

Number of G28 required				20,000	units
Cost to produce G28
Direct materials				$ 4.00
Direct labor				16.00
Variable overhead				8.00
Fixed overhead				10.00

If the company buys the part from a supplier instead of making it, the released facility will
be idle. The plant manager estimates the following:
Avoidable fixed overhead				40%
Purchase price of G28				$ 36.00

Compute the operating income of the make option.
				Compute the operation income of the buy option.

Should the company make or buy the component G28.