The cost to produce Part A was $10 per unit in 2017 and in 2018 it has increased to $11 per unit.In 2018,Supplier XYZ has offered to supply Part A for $9 per unit.For the make-or-buy decision:
A)incremental costs are $1 per unit.
B)incremental revenues are $2 per unit.
C)net relevant costs are $1 per unit.
D)differential costs are $2 per unit.

Question

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The Answer of The cost to produce Part A was $10 per unit in 2017 and in 2018 it has increased to $11 per unit.In 2018,Supplier XYZ has offered to supply Part A for $9 per unit.For the make-or-buy decision:
A)incremental costs are $1 per unit.
B)incremental revenues are $2 per unit.
C)net relevant costs are $1 per unit.
D)differential costs are $2 per unit.

The Cost to Produce Part a Was $10 Per Unit