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Question 9 (6 points) WASP Company can make a component for its final product for full cost of $25 per unit ($9 direct materials, $4

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Question 9 (6 points) WASP Company can make a component for its final product for full cost of $25 per unit ($9 direct materials, $4 direct labor, $7 variable overhead, $5 fixed overhead (all fixed overhead is indirect and unavoidable in this decision). A vendor offers to sell 3000 units of the component to WASP for $22 per unit. Assume WASP has sufficient capacity to make the component. For blank one, Indicate DIRECT cost to make the units. In blank two, calculate PURCHASE cost for the 3000 units is bought. In blank three, indicate the amount of net COST or net BENEFIT (as well as indicating which) of buying the component from the vendor (presumably, WASP would make if there was net COST and buy if there was net BENEFIT). Blank # 1 Blank # 2 Blank # 3

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