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answer completely for a guaranteed thumbs up! i Data Table x A B 1 Direct materials $ 720,000 2 Direct labor 72,000 3 Variable MOH

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i Data Table x A B 1 Direct materials $ 720,000 2 Direct labor 72,000 3 Variable MOH 216,000 432,000 4 Fixed MOH 5 Total manufacturing cost for 72,000 units $ 1,440,000 Print Done Fiber Systems manufactures an optical switch that it uses in its final product Fiber Systems does not yet know how many switches it will need this year, FiberSystems incurred the following manufacturing costs when it produced 72.000 however, another company has offered to soll Fiber Systems the switch for $15 50 units last year per unit Fiber Systems buys the switch from the outside supplier the Click the icon to view the manufacturing costs) manufacturing facilities that will be idle cannot be used for any other purpose, yot none of the fixed costs are avoidable Read the requirements Requirement 1. Given the same cout structure should FiberSystems make or buy the switch? Show your analysis. Complete an incremental analysis to show whether FberSystems should make or buy the switch (Enket a "O" for any zero amounts Round amounts to the nearest cent. Use a minus sign or parentheses whon the cost to buy exceeds the cost to make Fiber Systems Incremental Analysis for Outsourcing Decision Make Buy Unit Unit Difference Variable cost per unit Total variable cost per unit Decision because the variable cost per unit to make the switch is than the variable cost per unit to buy the switch Requirement 2. Now, assume that FiberSystems can avoid $110,000 of fixed costs a year by outsourcing production. In addition, because sales are increasing, FiberSystems needs 77.000 switches a year rather than 72,000 switches What should the company do now? Complete an outsourcing decision analysis assuming fixed costs can be avoided by outsourcing production and the number of units needed have increased Fiber Systems Outsourcing Decision Buy switches Make switches Totallevant costs Decision because the total relevant costs to make the switches are than the total relevant costs to buy the switches Requirement 3. Given the last scenario what is the most FiberSystems would be willing to pay to outsource the switches? Begin by identifying the basic formula that is used to determine the indifferent outsourcing cost per unit Cost if making switches Cost it outsourcing switches Using the basic formula you determined above, solve for the outsourcing cost at which FiberSystems would be indifferent between outsourcing and making the switches. (Enter your per unit calculation to the nearest cent) Fiber Systems would be indifferent between outsourcing and making the switches it the outsourcing cost was per swich Therefore Systems will only be willing to outsource if the outsourcing costis per switch por

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