Answer the following questions. 1. DeCesare Computers makes 5,400 units of a circuit board, CB76 at a cost of $220 each. Variable cost per unit is $150 and fixed cost per unit is $70. Peach Electronics offers to supply 5,400 units of CB76 for $200. If DeCesare buys from Peach it will be able to save $20 per unit in fixed costs but continue to incur the remaining $50 per unit. Should DeCesare accept Peach's offer? Explain. 1. DeCesare Computers makes 5,400 units of a circuit board, CB76 at a cost of $220 each. Variable cost per unit is $150 and fixed cost per unit is $70. Peach Electronics offers to supply 5,400 units of CB76 for $200. If DeCesare buys from Peach it will be able to save $20 per unit in fixed costs but continue to incur the remaining $50 per unit. Should DeCesare accept Peach's offer? Explain. Begin by calculating the relevant cost per unit. (If a box is not used in the table, leave the box empty; do not enter a zero.) Make Buy Relevant costs: Variable costs per unit 150 Avoidable fixed costs per unit 20 200 170 200 Purchase price per unit Unit relevant cost DeCesare Computers should reject Peach's offer. When comparing relevant costs between the choices, Peach's offer price is higher than the cost to continue to produce.