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Chapter 23 Problems Assignment 1 15 points Saved Gelb Company currently makes a key part for its main product. Making this part incurs per
Chapter 23 Problems Assignment 1 15 points Saved Gelb Company currently makes a key part for its main product. Making this part incurs per unit variable costs of $1.75 for direct materials and $1.30 for direct labor. Incremental overhead to make this part is $1.62 per unit. The company can buy the part for $4.93 per unit (a) Prepare a make or buy analysis of costs for this part. (Enter your answers rounded to 2 decimal places.) (b) Should Gelb make or buy the part? (a) Make or Buy Analysis Direct materials H Print + C References Direct labor Overhead Cost to buy Cost per unit Cost difference (b) Company should Maks Buy Help Save & Che
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