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Question 3 Marigold Industries incurs unit costs of $8 (95 variable and $3fied) in making an assembly part for its finished product. A supplier offers to make 10,300 of the assembly part at $6 per unit. If the offer is accepted, Marigold will save all variable costs but no fixed costs. Prepare an analysis showing the total cost saving.cany, Marigold will realize by buying the part. (If amount decreases net income then enter the amount using either a negative sign preceding the number .g.-45 or parentheses g. (45).) Net Income Increase (Decrease) Make Buy Study Variable manufacturing costs Fixed manufacturing costs Purchase price Total annual cost The decision should be to the part. Question 3 Marigold Industries Incurs unit costs of $8 ($5 variable and $3 Fixed) in making an assembly part for its finished product. A supplier offers to make 10,300 of the assembly part at $0 per unit. If the offer is accepted, Marigold will save all variable costs but no fixed costs. Prepare an analysis showing the total cost saving, if any, Marigold will realize by buying the part. (If amount decreases net Income then enter the amount using either a negative sign preceding the number eg. 45 or parentheses .g. (45).) Make Buy Net Income Increase (Decrease) Variable manufacturing costs Fixed manufacturing costs Purchase price Total annual cost The decision should be to the part

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