Your answer is partially correct. Oriole Corporation currently manufactures a subassembly for its main product....
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Accounting
Your answer is partially correct.
Oriole Corporation currently manufactures a subassembly for its main product. The costs per unit are as follows:
Direct materials $
Direct labor
Variable overhead
Fixed overhead
Total
Funkhouser Company has contacted Oriole with an offer to sell it of the subassemblies for $ each. If Oriole buys the subassemblies, $ of the fixed overhead per unit will be allocated to other products.
Should Oriole make or buy the subassemblies?
Oriole should to save $ per unit.
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