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 $27.84 per unit. This year, production was 11,000 units; next year, production is expected to be 15,000 units. Total production costs for the part this year were: Materials Direct labor $129,800 100,540 Variable overhead Fixed overhead Total 70,400 30,140 $330,880 $5,124 of X Company's fixed overhead can be avoided 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 $3,000. If X Company buys the part instead of continuing to make it, it will save A: $333 B: $389 OC: $456 D: $533 OE: $624 OF: $730 Submit Answer Tries 0/99