Skate Right Company produces 8,000 skateboards a year operating at 65% of capacity. To use more capacity, the plant manager has been considering making its own wheels. Currently, the company purchases wheels from a supplier at a price of $22 per unit (each unit is a set of wheels for the skateboard). Estimates the company's cost to manufacture the wheels per unit would include direct materials $9.9, direct labor for $4.4, and variable overhead cost of $1.1 per unit. The company's accountants would probably allocate another $6.60 per unit to the manufacture of the wheels. Required: Should Skate-Right make or buy the wheels? Explain and show appropriate calculations.