Limestone Hotel currently launders all of its towels and sheets in the basement of the hotel. The companys accounting department has reported the following annual costs of laundering internally. Limestone Hotel Laundry Production Costs For the Year Ended December 31, 2020 Per kg 11,000 kg Direct Materials $4.00 $44,000 Direct Labour $8.00 $88,000 Housekeeping Supervisor $7.00 $77,000 Depreciation of laundry equipment $4.00 $44,000 Allocated Fixed Costs $5.00 $55,000 Total Cost $28.00 $308,000 An external company has offered to process 11,000 kg of laundry per year at a price of $15 per kg. Also consider the following information: The laundry equipment has no salvage value and has no other use aside from processing the laundry. It cannot be sold. The fixe