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Feedback Print X Company currently buys a part from a supplier for $13.48 per unit...

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Accounting

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Feedback Print X Company currently buys a part from a supplier for $13.48 per unit but is considering making the part itself next year. This year, they purchased 3,300 units of this part; next year, they will need 3,700 units. Estimated costs to make the part next year are: Direct materials Direct labor Variable overhead Fixed overhead Total Per-Unit $3.16 3.54 3.80 Total $10,428 11,682 12,540 15,180 $49,830 4.60 $15.10 Of the estimated fixed overhead, $8,045 would be additional fixed overhead costs; the remainder would be common costs allocated to the part. X Company currently receives $2,100 a year by renting unused factory space, but it will have to use this space to make the part. If X Company makes the part instead of continuing to buy it, it will save Submit Answer Incorrect. Tries 2/5 Previous Tries Send Feedback Communication Blocked

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