JayCo Ltd. manufactures tennis racquets. In addition to the metals for the frame, each racquet requires 3.5 yards of nylon blend string, which JayCo Ltd. also produces. Recently, Strung Out Strings has approached JayCo Ltd. to sell string for $10.00 per pack. JayCo has provided you the following information about their costs for producing 169,000 packs of string from last year: \begin{tabular}{|l|ll|} \hline Price per pack & $ & 10.00 \\ \hline \end{tabular} Currently, JayCo Ltd. has no other plans for the facilities that produce the string. Should JayCo Ltd. continue to make the string internally, or accept the offer from Strung Out String? (Show calculations and explain.) \begin{tabular}{l} Should JayCo Ltd, continue to make the string or buy it? Explain. \\ \hline 27 \\ JayCo Ltd.'s R\&D department wants to release a new racquet for kids that will provide additional Contribution Margin of $450,000. JayCo Ltd. could buy the string fom an outside supplier and then remodel the string facility for $50,000 to make these kids racquets. With this-new development, should JayCo Ltd. continue to make the string, or buy from Strung Out Strings and make the new kids racquets? (Show calculations and explain.) \end{tabular}