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Currently our cost to manufacture a Red Hydrow Flaskk is: 10 Per Unit Variable Manufacturing Overhead $9 Direct Materials Allocated Fixed Manufacturing Overhead Direct Labor
Currently our cost to manufacture a Red Hydrow Flaskk is: 10 Per Unit Variable Manufacturing Overhead $9 Direct Materials Allocated Fixed Manufacturing Overhead Direct Labor 12 Total Cost Per Unit $41 10 A manufacturing company has approached us and offered to sell us Red Hydrow Flaskks. Number of units they offered to sell to us 15,000 Sales price per unit to us: $35 The results of this make or buy decision will not change the total company allocated fixed manufacturing overhead. If we decide to stop making Red Hydrow Flaskks, we can rent that space to our neighbor Potential rent from neightbor: $65,000 Perform a make or buy analysis. Based upon the analysis, what is the Make Cost? Based upon the anslysis, what is the Buy Cost? Show all work below for credit
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