* Question 6 Maplewood Company must decide whether to make or buy some of its components. The costs of producing 60,900 switches for its generators are as follows. Direct materials Direct labour $30,450 40,803 Variable overhead Fixed overhead $43,848 62,118 Instead of making the switches at an average cost of $2.91 ($177,219 = 60,900), the company has an opportunity to buy the switches at $2.71 per unit. If the company purchases the switches, all the variable costs and one-third of the fixed costs will be eliminated. * Question 6 Your answer is partially correct. Try again. Prepare an incremental analysis showing whether the company should make or buy the switches. (Round per unit answers to 2 decimal places, e.g. 15.25. If an amount reduces the net income then enter with a negative sign preceding the number e.g. -15,000 or parenthesis, e.g. (15,000).) Net Income Increase (Decrease) Per Unit Buy 160900 Number of units: Variable manufacturing costs |Fixed manufacturing costs Purchase price Total annual cost 90.00 ] 20706 26210 Franz 165039 5177219 5206451 1265039) 5129232) The company should Imake the components. Attempts: 1 of 3 used Question 6 Maplewood Company must decide whether to make or buy some of its components. The costs of producing 60,900 switches for its generators are as ollows. irect materials irect labour $30,450 40,803 Variable overhead Foed overhead $43,848 62.118 instead of making the switches at an average cost of $2.91 ($177,219 50,900), the company has an opportunity to buy the switches at $2.71 per unit. If the company purchases the switches, all the variable costs and one- hird of the fixed costs will be eliminated. (a) Your answer is partially correct. Try again. Prepare an incremental analysis showing whether the company should make o uy the switches. (Round per unit answers to 2 decimal places, e.g. 15.25. If an amount reduces the net income then enter with a negative sign preceding the number e.g. -15,000 or parenthesis, e.g. (15,000).) Net Income Increase (Decrease) Per Unit Make Buy umber of units: Variable manufacturing costs L 43848 Fixed manufacturing costs Purchase price 41412 165039 206451 (165039 Total annual cost L he company shows make the components LINK TO TEXT Attempts: 1 of 3 used SAVE FOR LATER SUMIT ANSWER (b) The parts of this question must be completed in order. This part will be Ivailable when you complete the part above