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Cruise Company produces a part that is used in the manufacture of one of its...

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Accounting

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Cruise Company produces a part that is used in the manufacture of one of its products. The unit manufacturing costs of this part, assuming a production level of 6 200 units are as follows Direct materials 54.30 Direct labor S420 Variable manufacturing overhead 53.10 Fixed manufacturing overhead $1.40 Total cost $13.00 O A. Make the part and save $10 20 per unit O B. Buy from Suri and save $110 per unit OC. Make the part and save $5.00 per unit OD. Make the part and save $2.50 per unit UHULE Variable manufacturing overhead Fixed manufacturing overhead Total cost The fixed overhead costs are unavoidable $3.10 51.40 $13.00 Suri Company has offered to sell 6 200 units of the same part to Cruise Company for $14. 10 per unit. Assuming the company has no other use for its facilities, what should Cruise Company do? OAMake the part and save $10.20 per unit OB Buy from Suri and save $1.10 per unit OC. Make the part and save $600 per unit OD. Make the part and save $250 per unit

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