I need solution for S8-10, S8-11 and S8-13 only.

$8-10 Product mix decision: Limited demand (Learning Objective 3) Relevant Costs for Short-Term Decisions 481 consider Storage Solutions from $8-9. Assume that demand for Regular bins is limited to 36,000 units and demand for Large bins is limited to 25,000 units. 1. How many of each size bin should the company make now? 2. Given this product mix, what will be the company's operating income? 3 . Explain why the operating income is less than it was when the company was produc- ing its optimal product mix. $8-11 Outsourcing production decision (Learning Objectives 1 & 6) Suppose a Luca's Garden restaurant is considering whether to (1) bake bread for its res- taurant in-house or (2) buy the bread from a local bakery. The chef estimates that variable costs of making each loaf include $0.54 of ingredients, $0.20 of variable overhead (elec- tricity to run the oven), and $0.71 of direct labor for kneading and forming the loaves. Allocating fixed overhead (depreciation on the kitchen equipment and building) based on direct labor assigns $1.04 of fixed overhead per loaf. None of the fixed costs are avoid- able. The local bakery would charge Luca's Garden $1.72 per loaf. cost per loaf? 1. What is the absorption cost of making a loaf of bread in-house? What is the variable 2. Should Luca's Garden bake the bread in-house or buy from the local bakery? Why? 3. In addition to the financial analysis, what else should Luca's Garden consider when making this decision? $8-12 Relevant information for outsourcing delivery function (Learning Objectives 1 & 6) Myer Food in Bowling Green, Kentucky, manufactures and markets snack foods. Mila Giles manages the company's fleet of 220 delivery trucks. Giles has been charged with 'reengineering" the fleet-management function. She has an important decision to make. . Should she continue to manage the fleet in-house with the five employees reporting to her? To do so, she will have to acquire new fleet-management software to stream- line Myer Food's fleet-management process. . Should she outsource the fleet-management function to Fleet Management Services, a company that specializes in managing fleets of trucks for other companies? Fleet Management Services would take over the maintenance, repair, and scheduling of Myer Food's fleet (but Myer Food would retain ownership). This alternative would require Giles to lay off her five employees. However, her own job would be secure, as she would be Myer Food's liaison with Fleet Management Services. Assume that Giles' records show the following data concerning Myer Food's fleet: Book value of Myer Food's trucks, with an estimated five-year life ...................... $ 3,800,000 Annual leasing fee for new fleet-management software ...... $ 9,000 Annual maintenance of trucks...... $ 166,000 LA Fleet Supervisor Giles' annual salary...... . . ... .... 65,000 Total annual salaries of Myer Food's five other fleet-management employees .... $ 160,000 Suppose that Fleet Management Services offers to manage Myer Food's fleet for an annual fee of $280,000. Which alternative will maximize Myer Food's short-term operating income? $8-13 Scrap or process further decision (Learning Objective 7) Mast Truck Accessories has an inventory of 485 obsolete remote entry keys that are car- ried in inventory at a manufacturing cost of $75, 175. Production Supervisor Carla Lewis must decide to do one of the following: . Process the inventory further at a cost of $30,000, with the expectation of selling it for $31,000. . Scrap the inventory for a sales price of $4,000, What should Lewis do? Present figures to support your decision