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Question 5 Galley Industries can produce 100 units of a necessary component part with the following costs Direct Materials Direct Labor Variable Overhead Fixed Overhead

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Question 5 Galley Industries can produce 100 units of a necessary component part with the following costs Direct Materials Direct Labor Variable Overhead Fixed Overhead $40,000 18.000 42.000 16.000 If Galley Industries purchases the component externally $4.000 of the forced costs can be avoided Below what external price for the 100 units would Galley choose to buy instead of make $100,000 $112.000 $88,000 $104,000

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