Maya Company currently buys a component part for $5 per unit. Maya estimates that making the part would require $2.05 per unit of direct materials and $1.20 per unit of direct labor. Maya normally applies overhead using a predetermined overhead rate of 220% of direct labor cost. Maya estimates incremental overhead of $0.75 per unit to make the part.

(a) Prepare a make or buy analysis of costs for this part.
(b) Should Maya make or buy the part?