Question
Direct Labor:20,000$ Direct Material:9,000$ Variable overhead:21,000$ fixed cost :8,000$ if gallery industries purchases the component externally, 2000$ of the fixed costs can be avoided, below
Direct Labor:20,000$
Direct Material:9,000$
Variable overhead:21,000$
fixed cost :8,000$
if gallery industries purchases the component externally, 2000$ of the fixed costs can be avoided, below what external price for the 100 units would galley choose to buy instead of make ?
a.50,000$
b.56,000$
c.44,000$
d.52,000$
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Managerial Accounting Tools for Business Decision Making
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
8th edition
978-1-119-3904, 1119392422, 111939242X, 1119390451, 978-1119392422
