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all same question thank you Troy Engines, Limited, manufactures a variety of engines for use in heavy equipment. The company has always produced all of
all same question thank you
Troy Engines, Limited, manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to sell one type of carburetor to Troy Engines, Limited, for a cost of $36 per unit. To evaluate this offer, Troy Engines, Limited, has gathered the following information relating to its own cost of producing the carburetor internally: Required: 1. Assuming the company has no attemative use for the focilies that are now being used to produce the carburetors, what would be the finaneial advantage (disadvantage) of buying t5.000 carburetors from the oilside supplier? 2. Should the ovtside supplier's offer be accepted? 3. Suppose that if the carburetors were purchased. Troy Engines, Limited, cocild use the freed capacity to latunch a new product. The segment marglr of the new product wouid be $150.000 per year Glven the new assumption. what would be the financial advantage (chisadvantage) of buying 15,000 carburedors trom the outside supplier? 4. Given the new assumption in requitement 3 , should the outside sumpller's offer be accepted? Complete this question by entering your answers in the tabs below. Required: Assuming the company has no alternative use for the facilities that are now being used to produce the carburetors, what would be the financial advantage (disadvantage) of buying 15,000 carburetors from the outside supplier? 2. Should the outside supplier's offer be accepted? 3. Suppose that If the carburetors were purchased, Troy Engines, Limited, could use the freed capacity to launch a new product. The segment margin of the new product would be $150,000 per year. Given this new assumption, what would be the financial advantage (disadvantage) of buying 15,000 carburetors from the outside supplier? 4. Given the new assumption in requirement 3 , should the outside suppliers offer be accepted? Complete this question by entering your answers in the tabs below. Assuming the company has no alternative use for the focites that are nov being used to produce the carburetors, what would be the financial advantage (disadvantago) of buying 15,000 carburetors from the outside supplier? Required: 1. Assuming the company has no altemative use for the facilities that are now being used to produce the carburetors, what would be: the financial advantage (disadvantoge) of buying 15,000 carburetors from the outside supplier? 2. Should the outside supplier's offer be accepted? 3. Suppose that if the carburetors were purchased, Troy Engines, Limited, could use the freed capacity to launch a new product. The segment margin of the new product would be $150,000 per year. Given this new assumption, what would be the financial advantage (disadvantage) of buying 15,000 carburetors from the outside supplier? 4. Given the new assumption in requirement 3 , should the outside supplier's offer be accepted? Complete this question by entering your answers in the tabs below. Suppose that if the carburetors were purchased, Troy Engings, Limited, could use the freed capacty to launch a new product. The segment margin of the new product would be $150,000 per year. Given this new assumpeien, what would be the financal advantage (disadvantage) of buying 15,000 carburetors from the outside supplier Step by Step Solution
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