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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

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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 $2.63 $8,679 4.77 15,741 Direct materials Direct labor Variable overhead Fixed overhead Total 2.90 9,570 5.20 17,160 $15.50 $51,150 A company has offered to supply this part to X Company for $12.92 per unit. If X Company accepts the offer, it will still incur fixed costs of $9,095, but it will be able to lease the resources that will become available from not making the part for $2,000. Next year's expected production level is 3,700 units. 11. If X Company buys the part next year instead of making it, it will save Submit Answer Incorrect. Tries 2/3 Previous Tries 12. At what production level would X Company be indifferent between making and buying the part next year? Submit Answer Tries 0/3

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