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Es final product. RootSystems incurred the last year: RootSystems does not yet know how many switc offered to sell RootSystems the switch for $10.00 supplier,

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Es final product. RootSystems incurred the last year: RootSystems does not yet know how many switc offered to sell RootSystems the switch for $10.00 supplier, the manufacturing facilities that will be ic fixed costs are avoidable. Data Table X A B 1 Direct materials $ 670,000 nt costs hes. 2 Direct labor 100,500 DotSyste 3 Variable MOH 67,000 ne the id 4 Fixed MOH 402,000 5 Total manufacturing cost for 67,000 units $ $ 1,239,500 outsour Print Done aking the s making the switches if the outsourcing cost was Ids and then continue to the next question. last year: offered to sell RootSystems the switch for $10.00 per supplier, the manufacturing facilities that will be idle fixed costs are avoidable. Requirements 1. Given the same cost structure, should RootSystems make or buy the switch? Show your analysis. 2. Now, assume that RootSystems can avoid $95,000 of fixed costs a year by outsourcing production. In addition, because sales are increasing, RootSystems needs 72,000 switches a year rather than 67,000 switches. What should the company do now? 3. Given the last scenario, what is the most RootSystems would be willing to pay to outsource the switches? Print Done the sw g making the switches if the outsourcing cost was Rootsystemaattu peal switches in its fra Droduct RootSystems in the flowing manufacturing costs when produced 67.000 units last year Click the icon to view the manufacturing RootSystems does not yet know how many wishes it wil need this year, however, armar company has offered to sell Roosters the switch for $1000 perunt. HoolSystems by the watch from the outside the mercuring facilities that wil beide cannot be used for any other purpose, yet none of the fed costs are avoidable Total relevant Dechion the relevant to mate the witches are than the total relevant costs to buy the switches Requirement in the outsenare, what is the root Rooms would be willing to pay to outsource the switches? Begin by tying the bouc formula is uted to the indifferent strong con perunt Contif making switches Costitutsourcing witches Long the basic tomus you clemind bove, ove for the outsourcing cost at which RootSystems would be indifferent between outsourcing and making the switches your perunt autantion to the nearest Rooty would be indifferent betwees oorganding the theories Choose from any lot or endor any number in the input fields and then continue to the

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