Golfers. Inc. {GI} manufactures golf related equipment including golf balls. This year's expected production of golf balls is 30.000 packs [each consisting of four golf balls]. Cost data are as follows: Per Pack 80,000 Padre Product costs directly traceable to balls: Direct materials $2.6D $20B.000 Direct labour 1.00 B Variable manufacturing overhead [1.15 12,000 Fixed manufacturing overhead 95,2[10 General allocated overhead 23.200 413,400 The full cost of one pack of golf balls is 55.23. GI has received an offer from an outside supplier to supply any desired quantity of balls at a price of 55.45 per pack of four golf balls. The cost accounting department has provided the following information: a. The direct xed manufacturing overhead is the cost of leasing the machine that stamps out the balls. The machine can produce a maximum of 500,D balls per year. If the balls are bought, the machine will no longer be needed. b. No other costs will be aected. Required: 1. Prepare an analysis showing whether GI would be better off making or buying the balls at a projected volume of HEDGE] packs {320.000 golf balls). (Round \"Per Unit\" answers to 2 decimal places.) Purchase Direct matelials Direct labour Variable manufacturing overhead Fixed manufacturing overhead General allocated overhead Total costs 2-a.At what 1urolume would GI be indifferent between making and buying? {Do not round intermediate calculations and round your nal answer to nearest whole number.) - 2-b.What does the indifference point indicate? [Do not round intermediate calculations and round your nal answers to nearest whole number.} - _- - -- 3. Select the quantitative andl'or qualitative factors that GI should consider before making the nal decision. [You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) |:| Possibility of intermptions in supply. Current price and changes in price. Alternative use for faoilities freed up Ability to maintain quality of tennis balls. Any labour or production issues that mayr happen. Change in management structure. EIIEEIEIEEI Climatic conditions in area where plant is situated