A. Jimmy Chong is the president of BlackBoard, a company that manufactures skateboards for $1 10 each. Annual production is 10,000 units; however, the maximum capacity is 15,000 units. An outside supplier approached the president and offers to make the skateboard with the same specification for $85 each. Amy Jacques, the company's accountant is tasked with investigating the feasibility of the offer from the outside supplier and report to the president. The following information relates to the production of 10,000 skateboards: Cost Per Total Annual Cost at 10,000 Unit units Variable production cost Direct materials 30 300,000 Direct labour 16 1 60,000 Manufacturing overhead 10 100,000 Fixed production costs Rent on factory building 260,000 Lease on factory 280,000 equipment Total production cost 1,100,000 Should the Company continue to make the skateboards inhouse? Explain your decision. Show all working to support your decision. [10 marks] B. Later in the year, a customer approached the president of BlackBoard to undertake a special order for 3,000 skateboards for $70 each. if the special order is accepted, the company would have to buy a piece of equipment costing $35,000 to cut the skateboards to the customer's specification. The company will incur an additional salary for a supervisor of $15,500. Should BlackBoard accept the special order? Explain your decision. Show calculation to support your answer. [12 marks]