Can you please solve this?Walker Limited wants to incorporate the effects of learning into the cost of producing a component used in the laser printers it sells to

commercial print shops. The standard cost of direct materials for the component is $$40$ per unit. Budgeted setup costs are $$100$ per

setup. The standard rate for direct labour is $$20$ per hour, and the standard variable overhead rate is $150\%$ of direct labour costs.

Production of the component is a repetitive process that requires experience to reach maximum productivity levels. Standards reflect a

$70\%$ learning rate. The initial component requires $10$ hours to produce.

Required:

Determine the average unit cost of eight units using the cumulative average time approach. $($Do not round intermediate

calculations.$)$

Answer is complete but not entirely correct.

If the component can be purchased from an external supplier for $$310$ per unit, at what level of production would Walker Limited be

indifferent between producing the component internally and buying it from the supplier?

Answer is complete but not entirely correct.