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Leap Company has collected the following information: Cost to buy one unit $24 Production costs per unit: Direct materials $10 Direct labor $8 Variable manufacturing
Leap Company has collected the following information: Cost to buy one unit $24 Production costs per unit: Direct materials $10 Direct labor $8 Variable manufacturing overhead $1 Total fixed manufacturing overhead $95,000 What level of production is needed for Leap to be indifferent between making or buying the part, assuming it can eliminate $75,000 of fixed costs? Select one: A. 15,000 units B. 13,000 units C. 12,500 units D. 16,250 units
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