$($b$)15$

Should Pharoah Ranch buy the finials?

$,$ Pharoah Ranch should $$ the finials.

$($c$)$

Would your answer be different in $($b$)$ if the productive capacity released by not making the finials could be used to produce income of $$34,800?$ Prepare the incremental analysis to show the result.

$\backslash$table$[[,$Make,Buy,$\backslash$table$[[$Net Income$],[$Increase$],[($Decrease$)]]],[$Total annual cost,$$,$$$,$$

Make

Buy

Increase $($Decrease$)$

Direct materials

$

s

$

Direct labor

Variable overhead costs

Fixed manufacturing costs

Purchase price

Total annual cost

$\backslash$table$[[392,045]]$

$\backslash$table$[[421,760],[]]$

s

$($b$)$

Should Pharoah Ranch buy the finials?

$$ Pharoah Ranch should $$ the finials.

$($c$)$

Would your answer be different in $($b$)$ if the productive capacity released by not making the finials could be used to produce income of $$34,800?$ Prepare the incremental analysis to show the result.