Haver Company currently produces component RX5 for its sole product. The current cost per unit to manufacture the required 56,000 units of RX5 follows. $ 5.00 Direct materials Direct labor Overhead Total costs per unit 24.00 Direct materials and direct labor are 100% variable. Overhead is 70% fixed. An outside slipplier has offered to supply the 56,000 units of RX5 for $20.00 per unit Required: 1. Calculate the incremental costs of making and buying component RX5 Answer is complete but not entirely correct. Total incremental costs of Making the Buying the Total direct materials 280,000 Total direct labor 504 000 Variable overhead costs 112,000 Cost to buy the units Total costs $ 896 000 Should the company continue to manufacture the part of should it buy the part from the outside supplier? 1,120,000 $ 1,120.000 Wale s Type here to search