Alanco, Inc. manufactures a vanety of products and is currently manufacturing all of its own component parts. An outside supplier has offered to sell one of those components to Alanco. The Controller has asked you to help evaluate this offer to determine if the company should make or buy the component. Use the information included in the Excel Simulation and the Excel functions described below to complete the task . Cell Reference: Allows you to refer to data from another cel in the worksheet from the Excel Simulation below, if in a blank cen "C" was entered the formula would output the result from cell C4, or 27,000,000 in this example, Basic Math functions Allows you to use the basic math symbols to perform mathematical functions. You can use the following keys plus sign to add) - minus sign to subtract.asterisk sign to multipy, and forward stash to divide). From the Excel Smulation below, if in a blank cell CHC15" was entered the formula would add the values from those cells and output the result of 2,900,000 in this example using the other math symbols the result would output an appropriate answer for its function . E function: Allows you to test a condition and return a specific value is the result is true and different value of the result is false. The syntax of the IF function is rest.conditionatetrueuse and specific considerations need to be made when using this function The test_condition argument is an evaluation of the status of a cell, such as if the value of a ces is greater than, less than or equal to another number or cel The value true and we arguments will return any specific result for each option such as another cell reference. a value, or text. Throughout the entire equation of text is being used in the test.conditioner, or value ise arguments then the text itself should be entered in quotations so that Excel will recognize the text as a string of text instead of another function. From the Excel Simulation below. If in a blank cellFC8-1000000,"Net income is goodNet income is bad was entered the formula would output the result of the value true since the rest.condition would be result as true, or in this case the text "Netcome is good" Excel processes the IF function by separating it out into separate parts. First the test.condition-Excel thinks, find cel C8 and determine if the values greater than 1000.000 Once Excel determines the result of that fest.conditionis TRUE OR FALSE, I will return the vale true or value_false Absolute Reference: Allows you to maintain the original cell reference when a formula is copied to another cell. The cell reference is locked by putting a dollar sign (5) before the column and row references. By default acelt reference is relative, so when you copy a formula to another cell the values update based on a relative reference For example, if you copy the formula -38-39 from cell Ci to cell C2, the formula in cel C2 w relatively update to be 69-810 since the copied formula moved down one cell, the formula cel references also moved down one cell Conversely, by adding the absolute cell reference rocks to the equation, the formula is not change when copied to any other cell. For example, $858-58$9 written in cell Clis copied to cell C2, the formula in cel C2 will remain * $B$8-5859 You can also use a moved cel reference by only locking the column or row only (588 or $5) which locks that specific column or row and the other reference becomes a relative reference and moves with the formula as its copied to another cell. For example, if you copy the formula 858+89" from cell to cel C2, the formances C2 wil update to be -858-810" since the copied formula moved down one cell, the formula cell relative references comoved down one cell but the absolute Pocked reference remained the same. For this project, when using Absolute Cell Referencing you can also use the auto option, however for proper grading you should only auto-tone cet at a time and not an entire range - 5 X Prepare a make or buy analysis - Excel FORMULAS DATA REVIEW FILE HOME INSERT PAGE LAYOUT VIEW Sign in x Calibri -11 Paste BIU AA % A. Alignment Number Conditional Format as Cell Formatting Table Styles Styles Cells Editing Clipboard Font Al X Alanco, Inc. manufactures a variety of products and is currently maunfacturing all A B D H G 1 Alanco, Ind manufactures a variety of products and is currently maunfacturing all of its own component parts. 2. An outside supplier has offered to sell one of those components to Alanco. To evaluate this offer, the following 3 information has been gathered relating to the cost of producing the component internally: 4 $ 5 Direct materials $ 4.00 6 Direct labor 6.00 7 Variable manufacturing overhead 2.00 8 Fixed manufacturing overhead, traceable 5.00 9 Fixed manufacturing overhead, common but allocated 8.00 10 Total cost S 25.00 11 12 Supplier price $ 21.00 13 14 Units used per year 12,000 15 16 Fixed manufacturing overhead, traceable is composed of two items: 17 Depreciation of equipment (no resale value) 30% 18 Supervisor salary 19 20 1. Assuming the company has no alternative use for the facilities now being used to produce the 21 component, complete the following analysis to determine if the outside supplier's offer should be accepted. 22 70% 23 Per Unit Differential Cost 12,000 units Sheet1 READY 100% E Prepare a make or buy analysis - Excel ? FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In A Calibri 11 HA A 96 M ED Paste B TUL Alignment Number Cells Editing Conditional Format as Cell Formatting Table Styles Styles Clipboard Font Al X Alanco, Inc. manufactures a variety of products and is currently maunfacturing all A B D E F G H 19 20 1. Assuming the company has no alternative use for the facilities now being used to produce the 21 component, complete the following analysis to determine if the outside supplier's offer should be accepted. 22 23 Per Unit Differential Cost Make Buy 12,000 units Make Buy 24 25 26 Cost of purchasing 27 Direct materials 28 Direct labor 29 Variable manufacturing overhead | 30 Fixed manufacturing overhead, traceable 31 Fixed manufacturing overhead, common 32 Total costs 33 34 Based on this analysis, write an if statement to determine if Alanco should make or buy the component. Alanco should the component 35 36 37 38 39 40 Sheet1 N READY le + 100%