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Business, 11.11.2019 19:31 zgueyeu

Wheeler company can produce a product that incurs the following costs per unit: direct materials, $9.50; direct labor, $23.50, and overhead, $15.50. an outside supplier has offered to sell the product to wheeler for $44.00. if wheeler buys from the supplier, it will still incur 40% of its overhead cost. compute the net incremental cost or savings of buying.
a. $3.75 savings per unit.
b. $3.75 cost per unit.
c. $1.30 cost per unit.
d. $4.32 cost per unit.
e. $1.30 savings per unit.

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