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The following information is for Questions 11 and 12 X Company is considering buying a...

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Accounting

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The following information is for Questions 11 and 12 X Company is considering buying a part next year that they currently make. This year's production costs for 3,100 units were as follows: Direct materials Direct labor Variable overhead Fixed overhead Total Per-Unit $3.30 3.20 3.20 3.90 $13.60 Total $10,230 9,920 9,920 12,090 $42,160 A company has offered to supply this part to X Company for $12.10 per unit. If X Company accepts the offer, it will still incur fixed costs of $6,166, but it will be able to lease the resources that will become available from not making the part for $2,200. Next year's expected production level is 3,500 units. 11. If X Company makes the part next year instead of buying it, it will save A: $177 B: $221 C: $276 D: $345 E: $431 F: $539 Submit Answer Tries 0/99 12. At what production level would X Company be indifferent between making and buying the part next year? A: 528 B: 766|| OC: 1,110|| OD: 1,610|| OE: 2,335| OF: 3,385

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