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answer A restaurant bakes its own bread for a cost of $168 per unit (100 loaves), including fixed costs of $37 per unit. A proposal

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A restaurant bakes its own bread for a cost of $168 per unit (100 loaves), including fixed costs of $37 per unit. A proposal is offered to purchase bread from an outside source for $96 per unit, plus $8 per unit for delivery. Prepare a differential analysis dated July 7 to determine whether the company should make (Alternative 1) or buy (Alternative 2) the bread, assuming that fixed costs are unaffected by the decision. If an amount is zero, enter "o". For those boxes in which you must enter subtracted or negative numbers use a minus sign. Differential Analysis Make Bread (Alt. 1) or Buy Bread (Alt. 2) July 7 Differential Effect Make Bread Buy Bread on Income (Alternative 1) (Alternative 2) (Alternative 2) Sales price $0 SO $0 Unit Costs: Purchase price 0 $ 9,600 X -9,600 X Delivery 0 800 -800X Variable costs 16,800 X 0 Fixed factory overhead 3,700 X 0 Income (Loss) 13,100 X Feedback Determine whether the company should make (Alternative 1) or buy (Alternative 2) the bread. Buy the bread X Feedback Check My Work For the make and buy alternatives provide the unit costs. Determine the differential effect on income of the revenues, costs, and income (loss) by subtracting alternative 1 from alternative 2. Feedback Check My Work Partially correct

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