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Just need help with part B. 290 is not the answer. Walsh Corporation currently makes the nylon mooring cover for its main product a fiberglass

Just need help with part B. 290 is not the answer. image text in transcribed
Walsh Corporation currently makes the nylon mooring cover for its main product a fiberglass boat designed for tournament bass fleshing. The costs of producing the 2,000 covers needed each year follow. Calvin Company, a specialty fabricator of synthetic materials, can make the needed covers of comparable quality for $330 each, P, O, B, shipping point. Walsh would furnish its own trademark insignia at a unit cost of $20. Transportation in would be $16 per unit, paid by Walsh Corporation. Walsh's chief accountant has prepared a cost analysis that shows that only 30% of fixed overhead could be avoided if the covers are purchased. The covers have been made in a remote section of Walsh's factory building, using equipment for which no alternate use is apparent in the foreseeable future. a. Prepare a differential analysis shown whether or not you would recommend that the mooring covers be purchased from Calvin Company. If appropriate, use a negative sign which your answer to represent a net disadvantage answer. Do not use negative signs with any other answers. b. Assuming that the production capacity released by purchasing the covers could be devoted to a subcontracting job for another company that netted a contribution margin of $66.000, what maximum purchase price could Walsh pay for the covers Round answer to two decimal places, if applicable. $

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