X Company no longer has the space necessary to produce all of its parts. A company has offered to supply one of X Company's parts for $27.16 per unit. This year, production was 14,000 units; next year, production is expected to be 17,000 units. Per-unit production costs for the part this year were: Materials Direct labor Variable overhead Fixed overhead Total $11.45 9.54 5.61 2.68 $29.28 $28,515 of X Company's fixed overhead cannot be avoided even if it buys the part. In addition, if X Company buys the part, it will be able to rent some equipment that will no longer be needed, to another company for $3,500. If X Company buys the part instead of continuing to make it, it will save 22330.4 Submit Answer Incorrect Tries 114 Previous Tries