question 6 - prepare incremental analysis

Pharoah uses 1,000 units of the component IMC2 every month to manufacture one of its products . The unit costs incurred to manufacture the component are as follows. Direct materials $6148 Direct labor 37.19 Overhead 126.50 Total $225.17 Overhead costs include variable material handling costs of $7.50, which are applied to products on the basis of direct material costs The remainder of the overhead costs are applied on the basis of direct labor dollars and consist of 60% variable costs and 40% fred costs. A vendor has offered to supply the IMC2 component at a price of $230 per unit (a) locrease Decrease Prepare the incremental analysis for the decision to make or buy IMC2. Round answers to decind places 45,122, Enter the amounts using either a negative sign preceding the numbered -45 ar parentheseses (451) Buy IMC2 (per unit) $ Make IMC2 (per unit) Prepare the incremental analysis for the decision to make or buy IMC2 Rounderstas bond porn 4 12.3 amounts using either a negative sign preceding the number is 450 parentheses es. (451) Make IMC2 per unit) Direct material Buy IMC (per unit Net hos hoes De $ $ Direct labor Material handling Variable overhead Purchase price Total unit cost $ Should Pharoah purchase the component from the outside vendor if Pharoah's capacity remains ide! Atents de lesiones Yes ila