Question: Direct materials $2/unit Direct labor Variable OH Fixed OH allocated $2/unit $1/unit (based on production of 12,000 units/yr.) $3/unit Annual salary of one new

Direct materials $2/unit Direct labor Variable OH Fixed OH allocated $2/unit $1/unit (based on production of 12,000 units/yr.) $3/unit Annual salary of one new supervisor $27,000/year Assuming other things stay the sante, at what price per unit from the outside supplier would Brockington be indifferent to buying or making raw material Y? $5.25 $10.25 $7.25 $6.25

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