I would kindly request some help in my homework as per the attached - please include full explanation and references (if any)

Ashville Manfuraturing Ltd produces construction equipment and several components for the construction industry. Part of its manufacturing includes a component (QR20) that it uses in several of its equipment. Ashville's management is considering whether to continue manufacturing theses components on its premises or to purchase them from an outside source. The following information is available: a The company needs 6,000 of these components annually. These components (QR20) can be purchased from an outside supplier at a cost of $15 per component. b- The unit cost of manufacturing this component is $35, computed as follows: Direct materials $ 50,000 Direct labor 65,000 Factory overhead: Variable 35,000 Fixed Total manufacturing costs Cost per unit {$210,000 + 6,000 components) - Discontinuing the manufacture of the components (QR20) will eliminate all the raw materials and direct labor costs but will eliminate only 70% of the variable factory overhead costs. - If the components (QRZO) are purchased from an outside source, machinery used in the production of components will be sold at its book value. Accordingly, no gain or loss will be recognized. The sale of this machinery would also eliminate $3,000 of the fixed costs associated with depreciation and taxes. No other reductions in xed factory overhead will result from discontinuing the production of components. beqnired.' l lAssume that if the component (QRZO) are purchased from the outside source, the factory space previously used to produce this component can be usedto manufacture an additional 4.000 units of another component (QD33) per year. These components (QD33) have an estimated contribution margin of $8 per unit. The manufacture of these additional components (QD33) would have no effect on xed factory overhead. Would this new assumption change your recommendation as to whether to make or buy the original components (QRZO)? In support of your conclusion, prepare a schedule showing the incremental cost or benet of buying the compnen1(QR20) from the outside source and using the factory space to produce the additional components (QD33). (10 marks)