HELP ASAP

1 part 2 questions

Kando Company currently pays $16 per unit to buy a part for a product it manufactures. Instead, Kando could make the part for per unit costs of $7 for direct materials, $5 for direct labor, and $2 for incremental overhead. Kando normally applles overhead costs using a predetermined rate of 200% of direct labor cost. (a) Prepare a make or buy analysis of costs for this part. (b) Should Kando make or buy the part? Beto Company pays $5.50 per unit to buy a part for one of the products it manufactures. With excess capacity, the company is considering making the part. Making the part would cost $5.70 per unit for direct materials and $1.00 per unit for direct labor. The company normally applies overhead at the predetermined rate of 200% of direct labor cost. Incremental overhead to make the part would be 80% of direct labor cost. (a) Prepare a make or buy analysis of costs for this part. (Enter your answers rounded to 2 decimal places.) (b) Should Beto make or buy the part