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Variable 5 14 30,00 0 4. Lincoln Company produces manufacturing costs of this part, assuming a production level of 5,000 units a part that is

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Variable 5 14 30,00 0 4. Lincoln Company produces manufacturing costs of this part, assuming a production level of 5,000 units a part that is used in the manufacture of one of its products. The unit are as follows: Direct materials ufacturing overhead overhead Total cost Erickson Company has offered to sell 5,000 units of the same part to Lincoln Company for $13 per unit. Assuming the company has no other use for its facilities and that the fixed manufacturing costs are unavoidable, what should Lincoln Company do? By how much and in what direction (increase n or decrease) will operating income if the company buys the part from Erickson Company? 6 points sell Cest

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