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ALL ENTRIES ARE FORMULAS riepale alliake ul wuy allalysis. riepale a IIIake ui vuy allalysis e ul uuy Prepare a make or buy analysis -

ALL ENTRIES ARE FORMULAS

image text in transcribedimage text in transcribed riepale alliake ul wuy allalysis. riepale a IIIake ui vuy allalysis

e ul uuy Prepare a make or buy analysis - Excel HOME CSibri INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In Paste S Clipboard Alignment Number Conditional Formatting Format as Cell Table Styles Styles Cells Editing Alenco, Inc. manufactures a variety of products and is currently maunfacturing all Alanco, lnc manufactures a variety of products and is currently maunfacturing all of its own component parts. An outsi#ppplier has offered to sell one of those components to Alenco. To evaluate this offer, the followin information has been athered relati to the cost of roduci the com onent internal Direct materials Direct labor Variable manufacturing overhead Fixed manufacturin overhead, traceable* Fixed manufacturin overhead, common but allocated 8 10 12 14 IS 20 21 Total cost Su lier rice Units used r *Fixed manufacturing overhead, traceable is com Depreciation of e ui ment no resale value Su ervisor sala S 21.00 12,000 d of two items: 30% 70% 1. Assuming the company has no alternative use for the facilities now being used to produce the com onent, com lete the followin anal -s to determine if the outside su lier's offer should be acce Per Unit Differential Cost 12,000 units Sheetl

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