The fixed cost to Bernard Company of manufacturing 40,000 units of a particular part is $220,000...

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The fixed cost to Bernard Company of manufacturing 40,000 units of a particular part is $220,000 and the variable cost is $5.75 per unit. The company can buy the part from an outside supplier for $6.25 per unit. Fixed costs will remain the same regardless of Bernard's decision. Should the company buy the part or continue to manufacture it? Prepare a comparative schedule for Make vs buy and incremental analysis. The fixed cost to Bernard Company of manufacturing 40,000 units of a particular part is $220,000 and the variable cost is $5.75 per unit. The company can buy the part from an outside supplier for $6.25 per unit. Fixed costs will remain the same regardless of Bernard's decision. Should the company buy the part or continue to manufacture it? Prepare a comparative schedule for Make vs buy and incremental analysis.

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Cost that affects the decision will be considered in decision making Fixed cost remai... View the full answer