Posted: June 15th, 2022

Make-or-Buy, Traditional Analysis Wehner Company is currently manufacturing Part

Make-or-Purchase, Traditional AnalysisWehner Company is currently manufacturing Part ABS-43, producing 55,000 items yearly. The half is used within the manufacturing of a number of merchandise made by Wehner. The price per unit for ABS-43 is as follows: Direct Supplies $45.60 Direct Labor 9.80 Variable Overhead 2.75 Mounted Overhead three.90 TOTAL $62.05Of the whole mounted overhead assigned to ABS-43, $15,400 is direct mounted overhead (the annual lease value of equipment used to fabricate Part ABS-43), and the rest is widespread mounted overhead. An out of doors provider has provided to promote the half to Wehner for $58. There is no different use for the services currently used to supply the half. No vital non-unit-based overhead prices are incurred.Required:1.Ought to Wehner Company make or purchase Part ABS-43?Wehner ought to – Choose your reply -makebuyItem 1 the half. This may produce complete value financial savings of $____?____ .2.What is the utmost quantity per unit that Wehner could be keen to pay to an out of doors provider? Spherical your reply to the closest cent.$_____?_____ per unit

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