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Kando Company incurs a $10.00 per unit cost for Product A, which it currently manufactures and sells for $13.50 per unit. Instead of manufacturing and
Kando Company incurs a $10.00 per unit cost for Product A, which it currently manufactures and sells for $13.50 per unit. Instead of manufacturing and selling this product, the company can purchase it for $4.00 per unit and sell it for $10.90 per unit. If it does so, unit sales would remain unchanged and $4.00 of the $10.00 per unit costs of Product A would be eliminated. 1. Prepare Incremental cost analysis. Should the company continue to manufacture Product A or purchase it for resale? (Round your answers to 2 decimal places.) X Answer is complete but not entirely correct. Make Buy 13.50 10.10 4.00 x Selling price per unit Cost per unit to make Cost per unit to buy Cost per unit not eliminated if bought Income per unit 6.00 x 6.00 x 4.00 x 10.00 10.00 x Company should: Make
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