Scott Corporation produces a part that is used in the production of one of its products. The per-unit costs associated with the annual production of 5,000 units of this part are as follows: Direct materials $1.50 Direct labor $3.00 Variable factory overhead $2.00 Fixed factory overhead $8.00 Total costs $14.50 Smith Company has offered to sell 5,000 units of the same part to Scott Corporation for $8 per unit. Scott should: Select one: a. Buy the part, thereby saving $6.50 per unit. b. Buy the part, thereby saving $40,000 annually c. Buy the part, thereby saving $1.50 per unit d. Make the part, thereby saving $3.50 per unit e. Make the part, thereby saving $1.50 per unit