Alanco, Inc. manufactures a variety 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 b the component. Use the information included in the Excel Simulation and the Excel functions described below to complete the task. eet. From the Excel Simulation below, if in a blank cell, C4 . Cell Reference r to data from another cell in the work entered, the formula would output the result from cell C4, or 27,000,000 in this example Basic Meth 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 multiply), and / (forward slash to divide). From the Excel Simulation below, if in a blank cell "-C14+C15" was entered, the formula would add the values from those cells and output the result, or 2,900,000 in this example If using the other math symbols the result would output an appropriate answer for its function IF function: Allows vou to test a condition and return a specific value is the result is true and different value if the result is false. The syntax lue_if_true,value_if_false)" and specific considerations need to be made when using this function. s if t The string of text" instead of another function. From th ould be entered in quotations so that E Il recognize the te Excel Simulation below the result of the value- true since the test-condition would be result as true, or in this case the text-Net income is good". Excel processes the IF function by separating it out into separate parts. First the test_condition - Excel thinks, find cell C8 and determine if the value is greater than 1,000,000. Once Excel determines if the result of that test_condition is TRUE or FALSE, it will return the value_if_true or n a blank cell IF(C8 1000000,"Net income is good","Net income is bad") was entered, the formula would output Absolute Reference: All you to maintain the original cell reference when a formula is copied to another cell. The cell reference i locked by putting a dollar sign (S) before the column and row references. By default a cell reference is relative, so when you copy a Il C2 w copied to any other cell. For exampl SB$8 $B$9" written in cell C1 is copied to cell C2, the formula in cell C2 ich locks that specific B58+SB69. You can also use a mixed cell reference by only "locking the column or row only (SB8 or B 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 "BS8-B9" from cell C1 to cell C2, the formula in cell C2 will update to be "-BS8+B10" since the copied formula moved down one cell, the formula cell relative references also moved down one cell, but the absolute "locked" reference remained the same. For this project, when using Absolute Cell Referencing, you can also use the auto-fill option, however, for proper grading you should only auto-fill one cell at a time and not an entire range. 1 Alanco, Ind manufactures a variety of products and is currently maunfacturing all of its own component parts. 2An outside supplier has offered to sell one of those components to Alanco. To evaluate this offer, the following information has been gathered relating to the cost of producing the component internally: 5 Direct materials 6 Direct labor 4.00 6.00 2.00 5.00 8.00 Variable manufacturing overhead 8 Fixed manufacturing overhead, traceable 9 Fixed manufacturing overhead, common but allocated 10 Total cost 12 13 14 15 $21.00 Supplier price 12,000 Units used per year 16 *Fixed manufacturing overhead, traceable is composed of two items 17Depreciation of equipment (no resale value 18 19 30% 70% Supervisor salary 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 23 Per Unit Differential Cost 12,000 units 19 0 | 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. 23 Per Unit Differential Cost 12,000 units Make Buy Make Buy 25 26 Cost of purchasing 7 Direct materials 8 Direct labor 29Variable manufacturing overhead 30 Fixed manufacturing overhead, traceable 31 Fixed manufacturing overhead, common 2 Total costs 34 Based on this analysis, write an if statement to determine if Alanco should make or buy the component. 35 36 Alanco should the component 38 39 40
