Sheridan's Manufacturing Company can make 100 units of a necessary component part with the following costs: Direct Materials $121000 Direct Labor 30000 Variable Overhead 50000 Fixed Overhead 35000 If Sheridan's Manufacturing Company can purchase the component externally for $192000 and only $7000 of the fixed costs can be avoided, what is the correct make-or-buy decision? Buy and save $6000 Make and save $16000 Make and save $6000 Buy and save $16000