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Los Principales Corp makes bronze ingots it then uses to mold into decorative vases. Following data are available: Ingots produced Direct materials Direct labor Variable

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Los Principales Corp makes bronze ingots it then uses to mold into decorative vases. Following data are available: Ingots produced Direct materials Direct labor Variable MOH Fixed MOH Unit product cost: 10.000 $ 13.20 $ 20.80 3.00 $10.90 $ 47.90 An outside metallurgic company offered to sell Los Principales all the bronze ingots it needs for $42.30. If Los Principal ingots from the outside supplier it can use the facilities to manufacture a different product earning additional contribu margin of $39.000. All the product costs, except for $6.40 of Fixed MOH are avoidable if the ingots were purchased for outside company. a. How much of the unit product cost is relevant in the decision of whether to make or buy the part? enter your answer with two decimal places (e.g. 20.23) b. What is the net total dollar advantage (disadvantage) of purchasing the part rather than making it? enter your answer as a whole number (e.g. 2023) c. What is the maximum amount the company should be willing to pay an outside supplier per unit for the part if the commits to supplying all the required units? enter your answer with two decimal places (e.g. 20.23)

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