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l. Falco Scooters expects to sell LGGG Super300's annually. From the point of View of the Falco Group, should the engines for Super300 's be

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l. Falco Scooters expects to sell LGGG Super300's annually. From the point of View of the Falco Group, should the engines for Super300 's be purchased from the external supplier? Or should the engines be made internally, by Scorpion Motors? Estimate the nancial impact on Falco Group from the switch to in-sourcing the engines. 2. Falco Scooters\" marketing department estimates that if the selling price on Super300 's is lowered to $2,925 per unit, annual sales of this model will increase to 1,350 units. Should the company lower the price? How should they obtain the engine (make at Scorpion Motors or buy from outside supplier) under this alternative pricing strategy? Provide full nancial analysis of the various alternatives

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