due in 10 min! help!

Swasey Manufacturing needed to determine if it would be cheaper to make 10,000 units of a component in-house or to purchase them from an outside supplier for $4.50 each. Cost information on internal production includes the following: $ 10,000 20,000 Direct materials Direct labor Variable overhead Fixed overhead Total 8,000 44,000 $82,000 Which alternative is more cost effective for Swasey and by how much? Making the component will save Swasey $7,000. Buying the component will save Swasey $7,000. Buying the component will save Swasey $37,000. Making the component will save Swasey $44,000