The McGregor Company has a maximum production capacity of $55,000$ units per year. For that capacity level, fixed costs are $$370,000$

per year. Variable costs per unit are $$80.$ In the coming year, the company has orders for $60,500$ units at $$100.$ The company wants to

make a minimum overall operating income of $$180,000$ on these $60,500$ units.

Requirement

What maximum unit purchase price would McGregor Company be willing to pay to a subcontractor for the additional $5,500$ units it cannot

manufacture itself to earn an operating income of $$180,000?$

Determine the maxiumum total cost to McGregor Company of producing the $60,500$ units while earning an operating income of $$180,000.$

Total costs to produce $60,500$ units is

Identify the total cost to McGregor Company to manufacture $55,000$ units.

Total costs to manufacture $55,000$ units

Determine the maxiumum additional costs to purchase $5,500$ units from a subcontractor that McGregor Company would pay in order to

earn an operating income of $$180,000.$

The additional costs to purchase $5,500$ units from a subcontractor is

What maximum unit purchase price would McGregor Company be willing to pay to a subcontractor for the additional $5,500$ units it cannot

manufacture itself to earn an operating income of $$180,000?($Round your answer to the nearest cent.$)$

The maximum price per unit that can be paid to a subcontractor is