CoolSystems manufactures an optical switch that it uses in its final product. CoolSystems incurred the following manufacturing costs when it produced 72,000 units last year. CoolSystems does not yet know how many switches it will need this year, however, another company has offered to sell Cool Systems the switch for $12.00 per unt. CoolSystem buys the (Click the icon to view the manufacturing costs.) switch from the outside supplier, the manufacturing facilities that will be de cannot be used for any other purpose, yet none of the fed costs are avoidable Read the regulaments Requirement 1. Given the same cont structure, should CoolSystems make or buy the switch? Show your analysis Complete un incremental analysis to show whether CoolSystems should make or buy the switch. (Entet a "0" for any zero amounts. Round amounts to the nearest cant. Use a minus signor parentheses when the cost to buy exceeds the cost to make.) CoolSystems Data Table Incremental Analysis for Outsourcing Decision Make Buy Unit Unit Difference Direct materials $ 720.000 Variable cost per unit Direct labor 144.000 Variable MOH 215.000 432.000 Fixed MOH 1.512.000 Total manufacturing cost for 72.000 units Total variable cost per unit Print Done Decision: because the variable cost per unit to make the switch is than the variate cont per un to buy the w Requirement 2. Now, assume that CoolSystems can avoid S108,000 of fixed costs a year by outsourcing production. In addition, because sales are increasing, CoolSystema need 77,000 switches a year rather than 72,000 switches. What should the company do now? Complete an outsourcing decision analysis assuming fixed costs can be avoided by outsourcing production and the number of units needed have increased CoolSystems Outsourcing Decision Make Buy Choose from any list or enter any number in the input fields and then continue to tho next question. CoolSystems manufactures an optical switch that it uses in its final product. CoolSystems incurred the following manufacturing costs when it produced 72,000 units last year: click the con to view the manufacturing costs.) CoolSystems does not yet know how many switches will need this year, however, another company has offered to sell Cool Systems the switch for $12.00 per unit. If CoolSystem buys the switch from the outside supplier, the manufacturing facilities that will be idle cannot be used for any other purpose, yet none of the fed costs are avoidable Read the requirements Complete an outsourcing decision analysis assuming fixed costs can be avoided by outsourcing production and the number of units needed have increased, CoolSystems Outsourcing Decision Make Buy switches switches Total relevant costs Decision because the total relevant costs to make the switches are than the total relevant costs to buy the switches Requirement 3. Given the last scenario, what is the most CoolSysteme would be willing to pay to outsource the wicht? Begin by identifying the basic formula that is used to determine the indifferent outsourcing cost per unit Caut it making witches Coutil outsourcing switches Using the bonic formula you determined above, nove for the outsourcing cont at which CoolSystems would be indifferent between outsourcing and making the switches (inter your per un calculation to the nearest cent) CoolSystems would be indifferent between outsourcing and making the switches if the outsourcing cost was per switch. Therefore, Systems will only be willing to outsource in the outsourcing costs per 2 Choose from any list or enter any number in the input fields and then continue to the next