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X Company is considering buying a part next year that they currently make. A company has offered to supply this part for $16.69 per unit.

X Company is considering buying a part next year that they currently make. A company has offered to supply this part for $16.69 per unit. This year's production costs per unit for 57,000 units were:

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X Company is considering buying a part next year that they currently make. A company has offered to supply this part for $16.69 per unit. This year's production costs per unit for 57,000 units were: Direct materials $5.60 Direct labor 5.10 5.40 Total overhead $16.10 Total of the total overhead costs, $68,400 were fixed, and $42,408 of these fixed overhead costs are unavoidable. If X Company buys the part, the resources that were used for production can be rented to another company for $75,000. Production next year is expected to increase to 60,150 units. 4. If X Company continues to make the part instead of buying it, it will save Tries 0/3 5. Assume that X Company has an opportunity to negotiate the purchase price with the supplier. What purchase price would make X Company indifferent between making and buying? t Tries 0/3

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