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Dunedin Bank has two operating departments (Retail and Commercial) and three service departments: Operations, Information Technology (IT), and Transactions. For the last period, the following

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Dunedin Bank has two operating departments (Retail and Commercial) and three service departments: Operations, Information Technology (IT), and Transactions. For the last period, the following costs and service department usage ratios were recorded. The cost accountant at Dunedin Bank estimates that the cost structures in its departments are as follows: Required: a. If Dunedin Bank outsources the Transactions Department, what is the maximum it can pay an outside vendor without increasing total costs? b. If Dunedin Bank outsources the If Department, what is the maximum it can pay an outside vendor without increasing total costs? c. If Dunedin Bank outsources the Operations Department, what is the maximum it can pay an outside vendor without increasing total costs

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