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Nall Custom Pool Inc

Question 107

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Nall Custom Pool Inc.needs 10,000 units of a certain part for its manufacturing process.It can buy the part from Wholesale Pool Supplies and Equipment for $53.Nall's plant can manufacture the part for the following costs per unit:
Nall Custom Pool Inc.needs 10,000 units of a certain part for its manufacturing process.It can buy the part from Wholesale Pool Supplies and Equipment for $53.Nall's plant can manufacture the part for the following costs per unit: If Nall buys the part from Wholesale, 60 percent of the fixed manufacturing overhead applied will continue to be incurred.Required: What is the relevant dollar difference between making and buying the part? If Nall buys the part from Wholesale, 60 percent of the fixed manufacturing overhead applied will continue to be incurred.Required:
What is the relevant dollar difference between making and buying the part?

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