eBook Manoto100 Tesco Outsourcing (Make or Buy Deosion Mountain Air Limited manufactures a line of room air purifiers. Management is currently evaluating the possible production of an ar purifier for automobiles. Based on an annual volum 10,000 units, the predicted cost per unit of an auto ale purifier follows Direct materials 58.00 Direct labor 1.50 Factory Overhead 5.00 Total 31850 These cost predictions include 160.000 in facility level fixed factory overhead averaged over 10.000 units. One of the component parts of the auto air purifier is a battery operated electric motor Although the company does not currently manufacture the motors, the preceding cou predictions are based on the assumption that it will assemble such a motor Mini Motor Company has offered to supily an assembled battery operated motor at a cost of 5.0 per unit with a minimum annual order of 5.000 uri, Mountain Air accept this offer. It will be able to reduce the variable labor and variable overhead costs of the auto ar purifier by 10 percent. The sectic motors components will com 12.00 w Mountain Air assembles the motors Determine whether Mountain Ashould continue to make the electric motor or outsource in vom Mini Motor Company ontMalyse the relevant com a maken the motor porte ante a pune Caleate the net advantage (disadvantage of outsourcing the electric motors from Mon Motor Company . U with your rower to indicate a net disadvantage of outsourcing of appicable it could otherwise rent them to myspace for 1.000 per year should it more or outsource the component Calculate the advantage sadvantage of outsourcing the motor asuming the pace could be rented Use a nesive sign with your answer to indicate a ne disadvantage of outsource of applicabu 50