Swifty's Manufacturing Company can make 100 units of a necessary component part with the following costs Direct Materials $126000 Direct Labor 35000 Variable Overhead 53000 Fixed Overhead 36000 If Swifty's Manufacturing Company can purchase the component externally for $212000 and only $5000 of the fixed costs can be avoided, what is the correct make or buy decision Make and save $7000 Make and save $15000 Buy and save $15000 Buy and save $7000

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Swifty's Manufacturing Company can make 100 units of a necessary component part with the following costs: Direct Materials $126000 Direct Labor 35000 Variable Overhead 53000

Swifty's Manufacturing Company can make 100 units of a necessary component part with the following costs:

Direct Materials	$126000
Direct Labor	35000
Variable Overhead	53000
Fixed Overhead	36000

If Swifty's Manufacturing Company can purchase the component externally for $212000 and only $5000 of the fixed costs can be avoided, what is the correct make-or-buy decision?

Make and save $7000

Make and save $15000

Buy and save $15000

Buy and save $7000

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