Question 13 (4 points) Birch Company manufactures a part for its production cycle. The costs...
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Question 13 (4 points) Birch Company manufactures a part for its production cycle. The costs per unit for 5,000 units of the part are as follows: Direct materials Direct labor Variable factory overhead Fixed factory overhead Total costs $6.00 8.00 2.00 3.00 $19.00 3: If Birch buys this part from another company, it would save $2 per unit of fixed factory overhead costs. Spalding Company has offered to sell 5,000 units of the same part to Birch Company for $15 per unit. Assuming no other use for the facilities, Birch Company should e 4: A) buy the part from Spalding Company to save $3 per unit ge 5 B) buy the part from Spalding Company to save $1 per unit 5 C) buy the part to save $4 per unit leno 3 0 4 5 6 7 8 9 E R. Y U P S D F C H J K L 1 2. V B B. N M 3 1 Povo All Prise cm
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