Could you please help solve on excel thank you!

Problem 5 (Textbook Referenee: P6-6) - Decide whe ther to make or buy a product Skate Right Company, a skateboard manufacturer, is currently operating at 60% capacity and producing about 8,000 units a month. To use more capacity, the manager has been considering the research and development department's suggestion that the company manufacture its own wheebs Currently the company purchases wheels from a supplier ata unit price of $20. (Each unit is a set of wheels for a skateboard.) Estimates show the company can manufacture its own wheels at $10 for direct materials costs and $4 for direct labor cost per unit. The variable factory overhead is SI per unit. The company's accountants would probably allocate another $6 per unit to the wheels. Required: a. Should Skate-Right make or buy the wheels? SKATE RIGHT COMPANY Relevant Revenues and Expenses Make Diffe rential Purchase cost Direct materias Direct labor Net advantage (disadvantage) of making whees *Answer: Skate-Right should manufaicture its own wheels since it will save S5.00 perset ofwheels* b. Suppose Skate-Right coukd rent out the factory space needed to make the wheels for $360,000 annually. How would this affect your decision in (a), if at all? **Answer: By manufacturing its own wheels, Skate Right will save S5.00 x 8,000 units x 12 months-$480,000 annually. This is more than the S30,000 per month (S30,000 12-5360,000) it would receive in rental income. Therefore, Skate-Right should NOT rent its factory***