Rose Company currently produces Product X that sells for $10.00 per unit, has a variable cost of $6.00 per unit, and has an allocated a manufacturing overhead cost of $1.00 per unit of which $0.60 is fixed. An outside supplier has offered to supply Product X. What is the maximum (ceiling) price per unit that Rose Company should be willing to pay to the outside supplier for Product X? Rose Company currently produces Product X that sells for $10.00 per unit, has a variable cost of $6.00 per unit, and has an allocated a manufacturing overhead cost of $1.00 per unit of which $0.60 is fixed. An outside supplier has offered to supply Product X. What is the maximum (ceiling) price per unit that Rose Company should be willing to pay to the outside supplier for Product X?

$6.60 per unit $

10.00 per unit

$6.40 per unit

$6.00 per unit