Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Job Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks and then

image text in transcribed

Job Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a smartphone. The cost structure to manufacture 20,000 Tri-Robo is as follows: Direct Materials Direct Labor Variable Manufacturing Overhead Fixed Manufacturing Overhead 50.00 per unit 40.00 per unit 6.00 per unit 30.00 per unit Jobs has been approached by Tienh Inc. to sell these Tri-Robo for $115.00 per unit and buying these Tri-Robo instead of manufacturing them will save $405,000 of fixed manufacturing costs. Should Jobs Inc. continue to make the Tri-Robo or purchase from Tienh Inc.? Using the appropriate template and complete the problem and answer the question. (check figure: total cost to buy = $2,520,000.00)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Core Concepts Of Accounting Information Systems

Authors: Nancy A. Bagranoff, Mark G. Simkin, Carolyn Strand Norman

11th Edition

9780470507025, 0470507020

More Books

Students also viewed these Accounting questions

Question

D-1 Outline the six steps for controlling your assets.

Answered: 1 week ago

Question

LO 15-4 Compare the distribution strategies retailers use.

Answered: 1 week ago

Question

LO 14-6 Describe the product life cycle.

Answered: 1 week ago