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Wildhorse Company manufactured 7,320 units of a component part that is used in its product and incurred the following costs Direct materials $42,700 Direct labor

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Wildhorse Company manufactured 7,320 units of a component part that is used in its product and incurred the following costs Direct materials $42,700 Direct labor 18,300 Variable manufacturing overhead 12.200 Fixed manufacturing overhead 24,400 $97.600 Another company has offered to sell the same component part to the company for $13 per unit. The fixed manufacturing overhead consists mainly of depreciation on the equipment used to manufacture the part and would not be reduced if the component part was purchased from the outside firm. If the component part is purchased from the outside form. Wildhorse Company has the opportunity to use the factory equipment to produce another product which is estimated to have a contribution margin of $26.840. Prepare an incremental analysis report for Wildhorse Company which can serve as informational input into this make or buy decision. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses eg. (45). Do not leave any field blank. Entero for the amounts.) Make Buy Increase (Decrease) $ $ -> $ Another company has offered to sell the same component part to the company for $13 per unit. The fixed manufacturing overhead consists mainly of depreciation on the equipment used to manufacture the part and would not be reduced if the component part was purchased from the outside firm. If the component part is purchased from the outside firm, Wildhorse Company has the opportunity to use the factory equipment to produce another product which is estimated to have a contribution margin of $26,840. Prepare an incremental analysis report for Wildhorse Company which can serve as informational input into this make or buy decision. (Enter negative amounts using either a negative sign preceding the number eg -45 or parentheses eg (45). Do not leave any field blank. Entero for the amounts.) Buy Increase (Decrease) Make > $ $ $ $ v $

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