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RESOURCESDo Itf Review 20-3 (Part Level Submission Wilma Company must decide whether to make or buy some of its components. The costs of producing 60,500
RESOURCESDo Itf Review 20-3 (Part Level Submission Wilma Company must decide whether to make or buy some of its components. The costs of producing 60,500 switches for ework as follows. ise 20-4 ise 20-5 ise 20-2 cise 20-8 Direct materials $29,600 Variable overhead $44,400 Direct labor $21,480 Fixed overhead $83,600 Instead of making the switches at an average cost of $2.96 ($179,080+60,500), the company has an opportunity to bu $2.70 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fxed costs will be eliminated.sa iew 20- l Submission Prepare an incremental anal sign preceding the number e.g. -45 or parentheses e.g. (45).) ysis showing whether the company should buy the switches. (Enter negative amounts using either a Net Income Increase (Decrease) 20-2 Make Buy 20-5 Direct materials Direct labor Variable manufacturing costs Fixed manufacturing costs Purchase price Total cost sults by ective Wilma Company will incur $ of additional costs if it the switches. Click if you would like to Show Work for this question: LINK TO TEXT
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