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Business, 31.03.2020 04:03 alexiaaaa234

Andi Company manufactures a part for its production cycle. The costs per unit for 10,000 units of the part are as follows: Per Unit Direct materials $20.00 Direct labor 15.00 Variable factory overhead 5.00 Fixed factory overhead 10.00 Total costs $50.00 The fixed factory overhead costs are unavoidable. Step Company has offered to sell 10,000 units of the same part to Andi Company for $45 per unit. Assuming no other use for the facilities, Andi Company should .

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