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X Company is considering buying a part next year that they currently make. This year's production costs for 3,300 units were as follows: Per-Unit Total
X Company is considering buying a part next year that they currently make. This year's production costs for 3,300 units were as follows: Per-Unit Total Direct materials $3.04 3.98 $10,032 13,134 8,910 2.70 Direct labor Variable overhead Fixed overhead Total 4.50 14,850 $14.22 $46,926 A company has offered to supply this part to X Company for $12.96 per unit. If X Company accepts the offer, it will still incur fixed costs of $6,682, but it will be able to lease the resources that will become available from not making the part for $2,500. At what production level would X Company be indifferent between making and buying the part next year? 2833.95 Submit Answer Incorrect. Tries 2/3 Previous Tries
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