Mobility Partners makes wheelchairs and other assistive devices. For years it has made the rear wheel assembly for its wheelchairs. A local bicycle manufacturing firm, Trailblazers, Inc., offered to sell these rear wheel assemblies to Mobility. If Mobility makes the assembly, its cost per rear wheel assembly is as follows (based on annual production of 1,800 units):

Trailblazers has offered to sell the assembly to Mobility for $151 each. The total order would amount to 1,800 rear wheel assemblies per year, which Mobility's management will buy instead of make if Mobility can save at least $20,000 per year. Accepting Trailblazers's offer would eliminate annual fixed overhead of $36,350.

Required:

a. Prepare a schedule that shows the total differential costs. (Select option "higher" or "lower", keeping Status Quo as the base. Select "none" if there is no effect.)

Mobility Partners makes wheelchairs and other a local bicycle manufacturing firm, Trailblazers, Inc assembly, its cost per rear wheel assembly is as 10 points eBook Direct materials Direct labor Variable overhead Fixed overhead Total $ 30 98 14 41 $ 183 Prir References Trailblazers has offered to sell the assembly to per year, which Mobility's management will buy i offer would eliminate annual fixed overhead of Required: a. Prepare a schedule that shows the total differ Select "none" if there is no effect.)