Main Menu Contents Grades Chat Course Contents EXAM 2 Question 3 Timer Notes Evaluate Feedback Print X Company no longer has the space necessary to produce all of its parts. A company has offered to supply one of X Company's parts for $26.51 per unit. This year, production was 12,000 units; next year, production is expected to be 15,500 units. Per-unit production costs for the part this year were: Materials Direct labor Variable overhead Fixed overhead Total $11.79 8.48 5.68 3.92 $29.87 $41,395 of X Company's fixed overhead cannot be avoided even if it buys the part. In addition, if X Company buys the part, it will be able to rent some equipment that will no longer be needed, to another company for $4,000. If X Company buys the part instead of continuing to make it, it will save A: $669 B: $756 C: $854 D: $965 E: $1,090 F: $1,232 Submit Answer Tries 0/99