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Need help ASAP with formula! M7-8 Analyzing Make-or-Buy decision [LO 7-2, 7-4] Blowing Sand Company also has the Blast fan model. It is the company's

image text in transcribedNeed help ASAP with formula!

M7-8 Analyzing Make-or-Buy decision [LO 7-2, 7-4] Blowing Sand Company also has the Blast fan model. It is the company's top-selling model with sales of 30,000 units per year. This model has a dual fan as well as a thermostat component supplier. that causes the fan to cycle on and off depending on the room temperature. Blowing Sand has always manufactured the thermostat component but is considering buying the part from a It costs Blowing Sand $5 to make each thermostat ($2.50 variable and $2.50 fixed). Flurry Co. has offered to sell the component to Blowing Sand for $4. Blowing Sand's decision to purchase the part from Flurry would eliminate all variable costs but none of the fixed costs. Blowing Sand has no other possible uses for the area currently dedicated to the thermostat production Calculate the effect on Blowing Sand total costs if the thermostat is purchased from Flurry Co Total Cost by Should Blowing Sand continue to make the thermostat or purchase the part from Flurry Co.? Purchase Continue to make

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