Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Direct Materials Purchase Price Opportunity Cost Total Annual Cost $45,500 19,500 Another company has offered to sell the same component part to the company for $13 per unit. The fixed manufacturing overhead consists mainly of depreciation on the equipment used to manufacture the part and would not be reduced if the component part was purchased from the outside firm. If the component part is purchased from the outside firm, Wildhorse Company has the opportunity to use the factory equipment to produce another product which is estimated to have a contribution margin of $28,600. Fixed Manufacturing Overhead Direct Labor Variable Manufacturing Overhead Total Cost 13,000 Prepare an incremental analysis report for Wildhorse Company which can serve as informational input into this make or buy decision. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45). Do not leave any field blank. Enter O for the amounts.) 26,000 $104,000 > $ Make $ Buy $ Increase (Decreas

Ancther compary has offered to sell the same component part to the company for $13 per unit. The fixed manufacturing overtead conslists main yot depreciation on the equipment uned to mand acture the part and would nct be reduced if the component part wat putchaned from the outside firm. If the component part is purchased frum the outside firm. Whidherse Company has the opportunity to use the tactory equipment to produce another product which is estimated to have a contribution margin of $28,600 Prepare an incremental analysis report fer Whdhcrse Company which can senve as informational incut into this male or buv decirion for the onounts