Bramble Industries can produce 600 units of a necessary component part with the following costs:Direct Materials$75000 Direct Labour19900 Variable Overhead 59000Fixed Overhead10400lf Bramble Industries purchases the component externally, $3300 of the fixed costs can be avoided. Below what minimum external price for the 600 units would Bramble choose to buy instead of make?$ 157200$164300$94900$153900

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter10: Short-term Decision Making
Section: Chapter Questions
Problem 4EA: Zena Technology sells arc computer printers for $55 per unit. Unit product costs are: A special...
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Bramble Industries can produce 600 units of a
necessary component part with the following
costs: Direct Materials $75000 Direct Labour19900
Variable Overhead 59000Fixed Overhead10400lf
Bramble Industries purchases the component
externally, $3300 of the fixed costs can be avoided.
Below what minimum external price for the 600 units
would Bramble choose to buy instead of make?$
157200$164300$94900$153900
Transcribed Image Text:Bramble Industries can produce 600 units of a necessary component part with the following costs: Direct Materials $75000 Direct Labour19900 Variable Overhead 59000Fixed Overhead10400lf Bramble Industries purchases the component externally, $3300 of the fixed costs can be avoided. Below what minimum external price for the 600 units would Bramble choose to buy instead of make?$ 157200$164300$94900$153900
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