Direct material $ 8.40 Direct labor 24.40 Overhead 42.00 Total product costs per unit $ 74.80 An outside supplier offers to provide Epsilon with all the units it needs at $66.20 per unit. If Epsilon buys from the supplier, the company will still incur 30% of its overhead. Epsilon should choose to:
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Home » Business » Direct material $ 8.40 Direct labor 24.40 Overhead 42.00 Total product costs per unit $ 74.80 An outside supplier offers to provide Epsilon with all the units it needs at $66.20 per unit.