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Bramble Industries can produce 600 units of a necessary component part with the following costs:Direct Materials$75000 Direct Labour19900 Variable Overhead 59000Fixed Overhead10400lf Bramble Industries purchases the component externally, $3300 of the fixed costs can be avoided. Below what minimum external price for the 600 units would Bramble choose to buy instead of make?$ 157200$164300$94900$153900

Bramble Industries can produce 600 units of a necessary component part with the following costs:Direct Materials$75000 Direct Labour19900 Variable Overhead 59000Fixed Overhead10400lf Bramble Industries purchases the component externally, $3300 of the fixed costs can be avoided. Below what minimum external price for the 600 units would Bramble choose to buy instead of make?$ 157200$164300$94900$153900

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Bramble Industries can produce 600 units of a necessary component part with the following costs: Direct Materials $75000 Direct Labour19900 Variable Overhead 59000Fixed Overhead10400lf Bramble Industries purchases the component externally, $3300 of the fixed costs can be avoided. Below what minimum external price for the 600 units would Bramble choose to buy instead of make?$ 157200$164300$94900$153900
Transcribed Image Text:Bramble Industries can produce 600 units of a necessary component part with the following costs: Direct Materials $75000 Direct Labour19900 Variable Overhead 59000Fixed Overhead10400lf Bramble Industries purchases the component externally, $3300 of the fixed costs can be avoided. Below what minimum external price for the 600 units would Bramble choose to buy instead of make?$ 157200$164300$94900$153900
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