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X Company is considering buying a part next year that it currently makes. A company has offered to supply this part to X Company for
X Company is considering buying a part next year that it currently makes. A company has offered to supply this part to X Company for $15.67 per unit. Per-unit production costs last year, when production was 51,000 units, were: Materials Direct labor Total overhead $5.30 5.00 5.10 $15.40 Total $66,300 of X Company's total overhead costs were fixed; $43,758 of these fixed costs are unavoidable even if it buys the part. If X Company buys the part, there is nothing it can do with the resources that will become idle. Production next year is expected to be 54,450 units. If X Company continues to make the part instead of buying it next year, it will save A: $39,301|OB: $45,982| OC: $53,799 D: $62,944|| OE: $73,645| OF: $86,165 Submit Answer Tries 0/99
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