Given the following, determine if the company should buy 3,000 units at $4.00 per unit...
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Accounting
Given the following, determine if the company should buy units at $ per unit or if the company should continue to make the units.
Direct materials $ per unit
$
Labor $ per unit
$
Variable overhead $ per unit
$
Fixed overhead
$
Common costs
$
If the company buys the component, all of the variable costs and fixed overhead costs are differential. None of the common costs will be eliminated if the component is purchased. Based on price, what should the company do
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