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Flint Corporation currently manufactures a subassembly for its main product. The costs per unit are as follows: Direct materials Direct labour Variable overhead Fixed overhead
Flint Corporation currently manufactures a subassembly for its main product. The costs per unit are as follows: Direct materials Direct labour Variable overhead Fixed overhead Total $ 3.50 28.00 14.10 24.30 $69.90 Regina Corp. has contacted Flint with an offer to sell it 5,100 subassemblies for $51.90 each. Should Flint make or buy the subassemblies? Create a schedule that shows the total quantitative differences between the two alternatives. (Round all entries to 2 decimal places, e.g. 1.25.) Cost to make $ Cost to buy $ Flint should the subassemblies. LINK TO TEXT LINK TO TEXT The accountant decides to investigate the fixed costs to see whether any incremental changes will occur if the subassembly is no longer manufactured. The accountant believes that Flint will eliminate $51,000 of fixed overhead if it accepts the proposal. Does this new information change the decision? (Round all entries to 2 decimal places, e.g. 1.25.) Cost to make $ Cost to buy $
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