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Rubium Micro Devices currently manufactures a subassembly for its main product. The costs per unit are as follows: Direct materials Direct labor Variable overhead Fused

Rubium Micro Devices currently manufactures a subassembly for its main product. The costs per unit are as follows: Direct materials Direct labor Variable overhead Fused overhead Total $50.00 3000 38.00 32.00 $158.00 Crayola Technologies inc. has contacted Rubium with an offer to sell 8000 of the subassemblies for $144.00 each. Rubjum will eliminate $85,000 of fixed overhead if it accepts the proposal, What are the relevant costs for Rubium? $1,349,000 $741,000 $789.000 $1,093,000

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