Question: Xia Co currently buys a component part for $7 per unit. Xia belleves that making the part would require $230 per unit of direct materials

 Xia Co currently buys a component part for $7 per unit.
Xia belleves that making the part would require $230 per unit of

Xia Co currently buys a component part for $7 per unit. Xia belleves that making the part would require $230 per unit of direct materials and $1.00 per unit of direct labor. Xia allocates overhead using a predetermined overhead rate of 235% of direct labor cost Xia estimates an incremental overhead rate of $0.70 per unit to make the part. 1-a. What are the relevant costs for Xia to make or buy the part? 1-b. Should Xia make or buy the part? Complete this question by entering your answers in the tabs below. What are the relevant costs for Xaa to make of buy the part? (Round your answers to 2 decimal places.) Xia Co. currently buys a component part for $7 per unit. Xa believes that making the part would require $230 per urit of direct materials and $100 per unit of direct labor. Xab allocates overthead using a predetermined ovethead fate of 235% of direct labor cost. Xia estimates an incremental overhead rate of $070 per unit fo make the part. 1-a. What are the relevant costs for Xia to make or buy the part? 1-b. Should Xia make or buy the part? Complete this question by cntcring your answers in the tobs below. Should Xia make or buy the part

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