no need to explain

Question 26 2 pts Frederick Co. is thinking about having one of its products manufactured by an outside supplier. Currently, the cost of manufacturing 5,000 units is: Direct material Direct labor Variable factory overhead Factory overhead $62,000 47,000 38,000 52,000 If Frederick can buy 5,000 units from an outside supplier for $130,000, it should: Buy the product because the total incremental costs of manufacturing are greater than $130,000. Make the product because factory overhead is a sunk cost. Buy the product because total fixed and variable manufacturing costs are greater than $130,000 Make the product because current factory overhead is less than $130,000 Make the product because the cost of direct material plus direct labor of manufacturing is less than $130,000 MacBook 80 DOO 000 F4 F2 F3 F5 F7 $ A # 3 % 5 & 7 2 4 6 8 Question 27 2 pts A company has the choice of either selling 1,000 unfinished units as is or completing them. The company could sell the unfinished units as is for $4.00 per unit. Alternatively. it could complete the units with incremental costs of $1.00 per unit for direct materials, $2.00 per unit for direct labor, and $1.50 per unit for overhead, and then sell the completed units for $8.00 each. If the company completes the units, what is the impact on income? Income will increase by $500. Income will decrease by $500. Income will decrease by $4,500. Income will increase by $8,000. Income will increase by $4,000. Previous Next MacBook 80 F3 DOO 000 F4 Dll F F2 7 F5 $ % & # 3 2 4 5 6 7 8