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Swifty, Inc. currently manufactures a wicket as its main product. Costs per unit are as follows: Direct materials and direct labor $11. Variable overhead
Swifty, Inc. currently manufactures a wicket as its main product. Costs per unit are as follows: Direct materials and direct labor $11. Variable overhead Fixed overhead Total 7 9 $27 Saran Company has contacted Swifty with an offer to sell it 6200 wickets for $21 each. Of Swifty's $9 per unit fixed cost. $5 per unit is unavoidable. Should Swifty make or buy the wickets and why? Buy because the cost savings is $6200 Make because the cost savings is $18600 Mak because the cost savings is $6200 Buy because the cost savings is $12400
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