Question
O Question 6 Determine the financial impact of making the product rather than buying it from an outside supplier. Company makes 44,000 units of the
O Question 6 Determine the financial impact of making the product rather than buying it from an outside supplier. Company makes 44,000 units of the product. The cost per unit is: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead $10.30 $9.30 $3.85 $4.80 5.88 pts Direct labor is a variable cost in this company. An outside vendor offered to make the product at a price of $26.35. If the product is not made internally, there would be no other use for the production facilities. None of the fixed manufacturing overhead cost could be avoided. $297,000 ($83.600) 127,600 $211.200
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