Almoyed Corporation makes 100,000 units per year of a part called a B345 gasket for use in one of its products. Data concerning the unit production costs of the B345 gasket follow: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Total manufacturing cost per unit $ 0.15 0.10 0.15 0.24 $ 0.62 An outside supplier has offered to sell Almoyed Corporation all of the B345 gaskets it requires. If Almoyed Corporation decided to discontinue making the B345 gaskets, 25% of the above fixed manufacturing overhead costs could be avoided. Assume that direct labor is a variable cost. Required: a. Assume Almoyed Corporation has no alternative use for the facilities that are now being used to produce of the B345 gaskets. If the outside supplier offers to sell the gaskets for $0.46 cach, what would be the financial advantage (disadvantage) of buy 100,000 B345 gaskets from the outside supplier ? b. should Almoyed Corporation accept the offer? Why? c. Assume that Almoyed Corporation could use the facilities that are now being used to produce the B345 gaskets to expand production of another product that would yield an additional contribution margin of $10,000 annually. Given this new assumption, what would the financial advantage (disadvantage) of buying 100,000 B345 gaskets from the outside supplier? d. Based on the new assumption in requirement (c). What is the maximum price Almoyed Corporation should be willing to pay the outside supplier for B345 gaskets? Fully support your answer with appropriate calculations. For the toolbar.press ALT-F10 (PC) or ALTEN+F10 (Mac). B 1 US Paragraph Arial 10pt Av T X