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AutoSave H D 8 = Final Project (als Saved Search File insert Draw Page Layout Formulas Data Review View Home X Cut Help MP Calibri
AutoSave H D 8 = Final Project (als Saved Search File insert Draw Page Layout Formulas Data Review View Home X Cut Help MP Calibri -11 - AA EE BWrap Text Copy General of BTU A . EESMerge Center Format Painter Formattin 3 YOU MUST USE THE DATA FROM YOUR QULZ TO RECEIVE CREDIT G H 5 Data needed for this analysis: Cost per component 7 Direct materials B Direct labor 9 Variable manufacturing overhead 10 Foxed manufacturing overhead, traceable" 11 Fixed manufacturing overhead, common but allocated 12 Total cost $ 32.00 14 Supplier cost per component $20 16 Units used per year 14,000 18 Fed manufacturing overhead, traceable is composed of two items: 19 Depreciation of equipment (no resale value) 20 Supervisor salary 22 1. Assuming the company has no alternative use of the facilities now being used to produce the 23 component, complete the following analysis to determine if the outside supplier's offer should be accepted. 24 Calculate the per unit differential cost as well as the total cost to make or buy the component. 25 indicate below the analis if you should "makeor "buy the component. Total Cost for total units used Per Unit Differential Cost Total Units: Buy Make Buy 29 Cost of purchasing 14000 31 Direct materials 32 Direct labor 33 Variable manufacturing overhead 34 Fed manufacturing overhead, traceable 35 Food manufacturing overhead, common but allocated 36 Total cost Based on this analysis, indicate below the company should make or buy the component ABC, Inc. should 7 the component. Budgeting Flexible performance report Variance analysis Decision Making Tools
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