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Direrental Ahalms for a Lease-ar buy Decivon Inevitries can lease the equipment frism a domestic wpppier for 11,520 per veer for 4 yeart, with no

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Direrental Ahalms for a Lease-ar buy Decivon Inevitries can lease the equipment frism a domestic wpppier for 11,520 per veer for 4 yeart, with no additional costs. a. Prepare a diferatiel analyas duted february 12 to oetermine whether MsHet indatries should lease (Alemative t) or purchase (A)ernative 2 ) the equgmest tinter " 0= Ginerential Andyers tor a Discontinued Product A condensed income statement by product line for Lavonis Beverage inci indicated the foliowing for Vim Cols for the past year: It is estimated that 15% of the cost of goods sold represents fixed factory overhead costs and that 20% of the operating expenses art fixed, Because Yim Cols is only or of many products, the fixed costs will not be materially affected if the product is discootinued. a. Prepare a differential analysis dated November 2 to determine whother Vim Cola should be continued (Alemative t) or discontinued (Aitemative 2). If an amount is zero, enter +0. If required, use a minus sign to indicate a loss. Make-or-Buy Decision Pizana Computer Company has been purchasing carrying cases for its portable computers ot a purchase price of s62 per unit, The campany, which is currently operating below full capooty, charges factory ovemead to production at the rate of 37% of direct labor cost. The unit costs to produce comparable carrying cases are expected to be as follows: Direct materials: Direct labor $28.0018.006.66$52.66 cases are expected to be 14% of the direct labor costs. a. Prepere a citerental analysis dated May 31 to determine whether the company should muke (Aternative 2) or buy (Aternative 2) the cainging case. Round your answers to two decimal places. If an amount is zero, enter " 0 ", Differential Analysis Make (At. 1) or Buy (Ait, 2) Carrying Case May 31 b. Aswaming there wire no better alsmative uses for the spere eapacily, if wosld ts this deciton. to manulicture the corring coine. filed fectioy evwhiess in purchase price of $483,700. The old machine could be sold for 161,400 . The annual variable peaduction costs associated with the oli machine are estimated to be $158,100 per year for fo years. The annual wariable production costs for the new mochine are estimated to be $102,000 per year for B years. a.1 Prepare a differentiul analysit dated December 10 to determine whether to continue with (Aiternative 1) or replace (Alternative 2) the old machine. If an amount is tero, enter *o:. If tequired, use a mirus sign to indicate a loss. Differential Analysis Centinue with (AIt. 1) or Mteplace (Alt. 2) Old Machine a,2 Determine whether to contimue with (Alermative 1) er replace (Aternative 2) the old mbchine. th. What is the nunk cost in this stuatian? The sunk cost is 1 Sel or Process Further Northern Lumber Company incurs a cost of $370 per hundred board feec (hbe) in processing certain "rough-cut" lumber, which it seils for $554 per hbi, An a ternative is to prodoce a "finishedicut" at a total processing cost of 5526 per hbl, which can be sold for $780 per hbe. a. Prepare a differential analyils dated Apri 21 on whether to sell rough-cut lumber (Altemative 1 ) or process further into finished-cut lumber (Aternative 2 ). Differential Analvale b. Determine whether to sell roogb-cut lumber (Alternative 1) or arocess further into finished-cut lumber (Aiternagpe 2). Western leans Co, has an annual plant copacity of 2,000,000 units, and current production is 1,920,000 units, Monthly fixed costs are 3400,000 , and variable costs are $9 per unit. The present selling price is $15 per unit. On July 6 of the current yeac, the company received an offer from Childs Campsiy for so,000 unies of the product a $13 each. Childs Coenpany wy market the units in a foreign country under its own brand name. The additional business is not expected to affect the domestic seiling pric or quanty of sales of Western- Jeans Co. a. Prepare a differental analyzis dated July 6 on whether to reject. (Alternative 1) or accept (Alternative 2) the Childs orden If an amount is zero, enter "O:, If required, use a minut sigh ta indicate a loss. b. Having unwsed canacty avaiable is to this decision. The differential revenue is accepting this addional butiness will result in a net c. What is the mirimum price per unt that would produce a positive contribution margin? Round your anwwer to two decimal places

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