Question: KLM Company can produce 10,000 units of a necessary part with the following costs: Direct Materials $25,000 Direct Labor 15,000 Variable Overhead 20,000 Fixed Overhead 50,000 If KLM purchases the component externally, $20,000 of the fixed costs can be avoided. Below what external price for the 10,000 units would the Company choose to buy instead of making the units? KLM Company can produce 10,000 units of a necessary part with the following costs: Direct Materials $25,000 Direct Labor 15,000 Variable Overhead 20,000 Fixed Overhead 50,000 If KLM purchases the component externally, $20,000 of the fixed costs can be avoided. Below what external price for the 10,000 units would the Company choose to buy instead of making the units? $12.00 $9.00 $8.00 $6.00