Question 1 Wilma Company must decide whether to make or buy some of its components. The costs of producing 69,800 swiltches for its generators are as follows. Direct materials $29,700 Variable overhead $45,400 Direct labor $51,806 Flxed overhead $80,400 instead of making the switches at an average cost of $2.97 $207,306 69,800) the company has an opportunity to buy the switches at $2.74 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed costs will be eliminated (a) Prepare an incremental analysis showing whether the company should buy the switches. (Enter negative amounts using elther a negative sign preceding the number e.g. -4 or parentheses e.g. (45)) Net Income Increase (Decrease) Make Buy Direct materials Direct labor Variable manufacturing costs Fixed manufacturing costs Purchase price Total cost Wilma Company will incur of additional costs if it Uthe switches. Attempts: O of 1 used SAVE FOR LATER SUBHIT