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teftington Company is currently manufacturing Part P102. It produces 40,800 units of Part P102 per year. This part is used in the marvitacturing of maay

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teftington Company is currently manufacturing Part P102. It produces 40,800 units of Part P102 per year. This part is used in the marvitacturing of maay products produced by teftington, The breakdown of the cost per unit for P102 is shown below. The fixed overhead cost (at \$2.00/unit above) would still rerrain with the company even if Leftington stops manufacturing Part P7oz. An outside supplier has offered to sell the same part to Leftington for $17.00. Currently, there is no alternative-use for the capital assets used to produce Part P102. These capital assets will not be sold if the company chooses to buy Part P102. Do not enter dollar signs or commas in the innut boxes Use the nogative sigo for a negative change in operating income: a) Should teftington Cornpary make or buy Patt P102? Cost to Make: 1 Cost to Buy: 5 Therefore Leftington should: b) What is the maximum price leftingtop should be willing to pay an outside supplier for the part? MaximumflPrice:s c) If Leftington buys the part for $11 instead of making it, by how much will operating income increase of decreise? Change in operating incomes

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