Mohave Corp, is considering outsourcing production of the umbrella tote 8,800 units per year for $6.50 each. Mohave has the following information about the cost of producing tote bags bag included with some of its products. The company has received a bid from a supplier in Vietnam to produce Direct materials Direct labor Fixed manufacturing overhead 2.00 $7.00 Total cost per unit specific use in mind for the space currently dedicated to producing the tote bags Required: 1. Compute the difference in cost between making and buying the umbrella tote bag of Favors Buying Favors Making 2 Shoald Mobave bins the tote hane or contin 10:31 PM O Type here to search 3/20/20192 2. Should Mohave buy the tote bags or continue to make them? Make O Buy 3-a. Suppose that the space Mohave currently uses to make the bags could be utilized by a new produet line that would generate $12.000 in annual profits. Recompute the differ cost between making and buying the umbrelia tote bag Favors Buying Favors Making 3-b. Does this change your recommenciation to Mohave? Yes No NO 1032 PM /20/2019 O Type here to search