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Ivanhoe Corporation currently manufactures 3,800 staplers annually for its main product. The costs per stapler are as follows: Direct materials $3 Direct labor 7 Variable
Ivanhoe Corporation currently manufactures 3,800 staplers annually for its main product. The costs per stapler are as follows: Direct materials $3 Direct labor 7 Variable overhead 4 Fixed overhead Total $21 Gallup Company has contacted Ivanhoe with an offer to sell it 3,800 staplers for $18 each. $5 of the fixed overhead per unit is unavoidable. Prepare an incremental analysis for the make-or-buy decision. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) $ $Gallup Company has contacted Ivanhoe with an offer to sell it 3,800 staplers for $18 each. $5 of the fix unavoidable. Prepare an incremental analysis for the make-or-buy decision. (Enter negative amounts using either a neg e.g. -45 or parentheses e.g. (45).) Incremental savings on direct labor Incremental net cost to buy Incremental savings on direct materials Incremental cost to make Incremental savings on variable manufacturing overhead Incremental savings on fixed manufacturing overhead Incremental cost to buy Incremental net cost to make $ Save for Later Attempts: 0
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