Rockwood Company manufactures water bottles. They are considering buying the lids for the bottles rather than manufacturing them. The costs to manufacture the lids for each bottle are as follows: Direct Materials $0.30, Direct Labor $0.27, Variable Factory Overhead $0.36, and Fixed Factory Overhead $0.15. The price to purchase each lid is $1.00. Should Rockford make or buy the lids, and why should they make or buy them? Buy the lid; buying will net a $0.30 cost saving per lid Buy the lid; buying will net a $0.25 cost saving per lid. Make the lid; buying will net a loss of $0.15 per lid Make the lid; buying will net a loss of $0.07 per lid