all parts and the excel version

Use and to morbo and definitions wring Company is trying to decide called CISCO or to buy it from an outside supplier. The part, called P20,2A (LO 3), E Writing The man o r Shainer Manufacturing Comp whether to continue manufacturing a part or to buy it from an outside suppe is a component of the companyinished product The following information willsted from the conting records year ending December 31, 2012 conds and production data for the 1. 8,000 units of CISCO were reduced in the Machining Department. 2. Variable manufacturing costs applicable to the production of als $4.0, direct labor $4.30, Indirect labor 0,43, utilities 50.40. 3. Fixed manufacturing costs applicable to the production of CISCO were nach CISCO unit were: direct materi- Direct Allocated $ 900 Cost Item Depreciation Property taxes Insurance 2100 S1,500 $1,700 surchased All variable manufacturing and direct fixed costs will be eliminated if CISCO is purcha Allocated costs will not be eliminated CISCO is ourchased. So IT CISCO is purchased, fixed manufacturing costs allocated to CISCO will have to be absorbed by other production departments 4. The lowest quotation for 8.000 CISCO units from a supplier is SHO,000 5. If CISCO units are purchased, fresh and inspection costs would be 35 per unit, and receiving costs totaling $1,300 per year would be incurred by the Machining Department