Do lt! Review 20-3 (Part Level Submission) Wilma Company must decide whether to make or buy some of its components. The costs of producing 67 200 switchos for its generators are as follows Direct materials $31,000 Variable overhead $44,900 Direct labor $44,484 Fixed overhead $79,200 Instead of making the switches at an average cost of $297($199,584+67,200), the company has an opportunity to buy the switches at $2.75 per unit. if the company purchases the switches, all the variable costs and one-fourth of the fixed costs will be eliminated (a) Your answer is partially correct. Try again Prepare an incremental ana a.g. (45)) sis showing whether the company should b y te switches. Enter negative amounts using elternegate n preceding numbang-5 or penenoe Net Income Increase (Decrease) Make Buy Direct materials 31000 31 Direct labor 44484 44484 Variable manufacturing costs Fxed manufacturing costs Purchase price 44900 44900 19800 19800 184800 184800 Total cost 140184 184800 44616 |buys the switches Wlma Company will incur Click if you would like to Show Work for this question: of addeonal costs Open Show Work Would your answer be anerert ithe released productive 45 or parentheses e-g. (45) hy wil generate additional nome of S 48 1767 Enter negative amounts using ethernegative dgn pecting the aumen4 Net Income Increase (Decrease) Make Buy Total Cost Opportunity oost Total cost , the answer is The analysis shows that net income will be by $ Click if you would like to Show Work for this question: Open Show.Work