XYZ Company manufactures a part for its production cycle. The annual costs per unit for 5,000 units of the part are as f

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XYZ Company manufactures a part for its production cycle. The
annual costs per unit for 5,000 units of the part are as follows:
Per Unit Direct materials $3.00 Direct labor 5.00 Variable factory
overhead 4.00 Fixed factory overhead 2.00 Total costs $14.00 The
fixed factory overhead costs are unavoidable. Another company has
offered to sell 5,000 units of the same part to XYZ Company for $15
per unit. The facilities currently used to make the part could be
rented out to another manufacturer for $20,000 a year. XYZ Company
should ________. Select one: a. make the part to save $15,000 b.
None of the above c. make the part to save $5,000 d. buy the part
and rent facilities