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Problem 8-24 (Part Level Submission) Sheridan Water Co. is a leading producer of greenhouse irrigation...

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Problem 8-24 (Part Level Submission) Sheridan Water Co. is a leading producer of greenhouse irrigation systems. Currently, the company manufactures the timer unit used in each of its systems. Based on an annual production of 40,880 timers, the company has calculated the following unit costs. Direct fixed costs include supervisory and clerical salaries and equipment depreciation. Direct materials Direct labor Variable manufacturing overhead Direct fixed manufacturing overhead Allocated fixed manufacturing overhead $12 10 (30% salaries, 70% depreciation) 6 Total unit cost $38 Clifton Clocks has offered to provide the timer units to Sheridan at a price of $36 per unit. If Sheridan accepts the offer, the current timer unit supervisory and clerical staff will be laid off (a1) Your answer is incorrect. Try again. Calculate the total relevant cost to make or buy the timer units. (Round answers to O decimal places, e.g. 5,250.) Make Buy 12 12 Total relevant cost $

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