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Exercise 23-2 Make or buy LO P1 Gelb Company currently manufactures 47000 units per year of a key component for its manufacturing process Variable costs

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Exercise 23-2 Make or buy LO P1 Gelb Company currently manufactures 47000 units per year of a key component for its manufacturing process Variable costs are $5.15 per unit, fixed costs related to making this component are $75,000 per year, and allocated fixed costs are $64,500 per year. The allocated fixed costs are unavoidable whether the company makes or buys this component. The company is considering buying this component from a supplier for $370 per unit Calculate the total incremental cost of making 42.000 units and buying 47000 units. Should it continue to manufacture the component or should it buy this component from the outside supplier? 1 Complete this question by entering your answers in the tabs below. Costs to Make Costs to Buy Outside Supplier points Calculate the total incremental cost of making 47,000 units. (Round "variable cost per unit" answers to 2 decimal place Incremental Costs to Make Book Relevant Amount per Unit Relevant Fixed Costs Total Relevant Costs Variable cost per unit Fixed manufacturing costs Total incremental cost to make Coto Make Costs to Buy > Complete this question by entering your answers in the tabs below. Costs to Make costs to Buy Outside Supplier Calculate the total incremental cost of buying 17,000 units. (Round purchase price per unit answers to 2 decimal places) eBook Hint Print Total Rolavant Costs Incremental Costs to Buy Relevant Relevant Amount per Fixed Costs Unit Purchase price per unit Total incremental cost to buy

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