X Company is considering buying a part next year that they currently make. A company has offered to supply it for $12.60 per unit. This year's production costs for 3,200 units were as follows:

Per-Unit Total

Direct materials$2.76 $8,832 Direct labor3.98 12,736 Total overhead6.50 20,800

Total costs$13.24 $42,368

$9,920 of total overhead is fixed. If X Company chooses to buy the part, it will still incur fixed costs of $3,670. 1. If X Company makes the part next year instead of buying it, and production is expected to remain at 3,200 units, it will save 2. If X Company makes the part next year instead of buying it, and production next year is expected to be 3,600 units, it will save

X Company is considering buying a part next year that they currently make. A company has offered to supply it for $12.60 per unit. This year's production costs for 3,200 units were as follows: Total Direct materials Direct labor Total overhead Total costs Per-Unit $2.76 3.98 6.50 $8,832 12,736 20,800 $42,368 $13.24 $9,920 of total overhead is fixed. If X Company chooses to buy the part, it will still incur fixed costs of $3,670. 1. If X Company makes the part next year instead of buying it, and production is expected to remain at 3,200 units, it will save Submit Answer Tries 0/3 2. If X Company makes the part next year instead of buying it, and production next year is expected to be 3,600 units, it will save