Blossom Company purchases sails and produces sailboats. It currently produces 1,200 sailboats per year, operating at normal capacity, which is about 80% of full capacity. Blossom purchases sails at $250 each, but the company is considering using the excess capacity to manufacture the sails instead. The manufacturing cost per sail would be $90 for direct materials, $BO for direct labor, and $90 for overhead. The $90 overhead is based on $78,000 of annual fixed overhead that is allocated using normal capacity The president of Blossom has come to you for advice. "It would cost me $260 to make the sails," she says, "but only $250 to buy them. Should I continue buying them, or have I missed something? Prepare a per unit analysis of the differential costs. (Enter negative amounts using either a negative sign preceding the number 4,8 -45 or parentheses es. (451) Make Sails Buy Sails Net Income Increase (Decrease) Direct material $ Direct labor Variable overhead Purchase price Total unit cost $ $ Should Blossom make or buy the sails? Blossom should the sails. If Blossom suddenly finds an opportunity to rent out the unused capacity of its factory for $77,000 per year, would your answer to part (a) change? . This is because the net income will v by $