Business, 19.12.2019 02:31 savingmayo

Problem #2 – make or buy decision (2 pts.)bell company must decide whether to make or buy subassembly xyz. bell company needs 10,000 units of subassembly xyz. a cost analyst has prepared the following estimates on making the subassembly: direct materials costs $4 per unit direct labor costs 6 per unit variable overhead costs 6 per unit total variable costs $16 per unit additional setup and maintenance costs $30,000allocated fixed factory overhead 60,000total fixed costs $90,000 per yeartracy manufacturing llc is willing to sell bell company the subassembly for $20 per unit. required: should bell company make or buy the subassembly? support your answer with analysis.

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Problem #2 – make or buy decision (2 pts.)bell company must decide whether to make or buy subassembl...

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