Question: Variable manufacturing overhead is applied at $1.00 per unit. The other $0.30 of overhead consists of allocated fixed costs. Gent will need 6,000 units of

Variable manufacturing overhead is applied at $1.00 per unit. The other

Variable manufacturing overhead is applied at $1.00 per unit. The other $0.30 of overhead consists of allocated fixed costs. Gent will need 6,000 units of part A for the next year's production Cory Corporation has offered to supply 6,000 units of part A at a price of $6.90 per unit. If Gent accepts the offer, all of the variable costs and $1,200 of the fixed costs will be avoided. A. Calculate the differential cost? B. Should Gent Designs accept the offer from Cory Corporation

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