Make-or-Buy Decision 42% of direct labor cost. The unit costs to produce comparable carrying cases are expected to be as follows: \begin{tabular}{lr} Direct materials & $30 \\ Direct labor & 22 \\ Factory overhead (42\% of direct labor) & 9.24 \\ \cline { 2 - 2 } Total cost per unit & $61.24 \\ \hline \hline \end{tabular} Differential Analysis Make Carrying Case (Alt. 1) or Buy Carrying Case (Alt. 2)