SOLVE ASAP PLS

Do It! Review 20-03 Wilma Company must decide whether to make or buy some of its components. The costs of producing 61,300 switches for its generators are as follows. Direct materials $30,100 Variable overhead $44,600 Direct labor $26,670 Fixed overhead $76,400 Instead of making the switches at an average cost of $2.90 ($177,770 + 61,300), the company has an opportunity to buy the switches at $2.72 per unit. If the company purchas the switches, all the variable costs and one-fourth of the fixed costs will be eliminated.Prepare an incremental analysis showing whether the company should make or buy the switches. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net Income Make Buy Increase ( Decrease) Direct materials Direct labor Variable manufacturing costs Fixed manufacturing costs Purchase price Total cost Wilma Company will incur $ of additional costs if it the switches. Activate Windows Go to SettingWould your answer be different if the released productive capacity will generate additional income of $50,176? (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net Income Make Buy Increase (Decrease) Total Cost $ $ Opportunity cost Total cost v the answer is The analysis shows that net income will be by $