2. Suppose the capacity currently used to make CMCBs will become idle if Serendipity purchases CMCBs from Manson. On the basis of financial considerations alone, should Serendipity make CMCBs or buy them from Manson? Show your calculations. 3. Now suppose that if Serendipity purchases CMCBs from Manson, its best alternative use of the capacity currently used for CMCBs is to make and sell special circuit boards (CB3s) to the Everyday Corporation. Serendipity estimates the following incremental revenues and costs from CB3s: Total expected incremental future revenues $1,800,000 Total expected incremental future costs $1,935,000 On the basis of financial considerations alone, should Serendipity make CMCBs or buy them from Manson? Show your calculations. Data table Current Costs Expected Costs in 2020 in 2021 $ 170 $ 190 60 45 Variable manufacturing costs Direct material cost per CMCB Direct manufacturing labor cost per CMCB Variable manufacturing cost per batch for setups, materials handling, and quality control Fixed manufacturing cost Fixed manufacturing overhead costs that can be avoided if CMCBs 1,500 1,300 are not made 450,000 280,000 Fixed manufacturing overhead costs of plant depreciation, insurance, and administration that cannot be avoided even if CMCBs are not made 1,170,000 480,000