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Fruit Fusions Incorporated (FFI) manufactures industrial cold press machines for the food service industry. They currently apply overhead at a rate of 60% of machine

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Fruit Fusions Incorporated (FFI) manufactures industrial cold press machines for the food service industry. They currently apply overhead at a rate of 60% of machine hours. FFI currently purchases a component for $115, they are considering making the component themselves. Manufacturing the component will incur the following costs: direct materials: $33, direct labor: $55, and incremental overhead of $12. Should the company make or buy the component? 13 Pag B DO

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