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Southwestern Company needs 1,000 motors in its manufacture of automobiles. It can buy the motors from Jinx Motors for $1,250 each. Southwestern's plant can manufacture

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Southwestern Company needs 1,000 motors in its manufacture of automobiles. It can buy the motors from Jinx Motors for $1,250 each. Southwestern's plant can manufacture the motors for the following costs per unit: If Southwestern buys the motors from Jinx, $105,000 of the fixed manufacturing overhead allocated will be eliminated. Should Southwestern make or buy the motors, and what is the difference between the two alternatives? If Southwestern buys the motors from Jinx, $105,000 of the fixed manufacturing overhead allocated will be eliminated. Should Southwestern make or buy the motors, and what is the difference between the two alternatives? Make; savings =$195,000 Makeisavings $300.000 Buy: savingso $50,000 Buy: savings $55,000

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