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X Company is considering buying a part next year that they currently make. This year's production costs for 3,500 units were as follows: Per-Unit $3.01

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X Company is considering buying a part next year that they currently make. This year's production costs for 3,500 units were as follows: Per-Unit $3.01 Direct materials Direct labor Variable overhead Fixed overhead 4.39 2.60 3.20 $13.20 Total $10,535 15,365 9,100 11,200 $46,200 Total A company has offered to supply this part to X Company for $13.27 per unit. If X Company accepts the offer, it will avoid fixed costs of $6,160, and it will be able to lease the resources that will become available from not making the part for $2,800. 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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