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need help with the follwong 1. Blossom Fiber Company is the creator of Y-Go, a technology that weaves silver into its fabrics to kill bacteria

need help with the follwong

1.

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Blossom Fiber Company is the creator of Y-Go, a technology that weaves silver into its fabrics to kill bacteria and odor on clothing while managing heat. Y-Go has become very popular in undergarments for sports activities. Operating at capacity, the company can produce 1,000,000 Y-Go undergarments a year. The per unit and the total costs for an individual garment when the company operates at full capacity are as follows. Per Undergarment Total Direct materials $1.90 $1,900,000 Direct labor 0.40 400,000 Variable manufacturing overhead 0.95 950,000 Fixed manufacturing overhead 1.40 1,400,000 Variable selling expenses 0.30 300,000 Totals $4.95 $4,950,000 The U.S. Army has approached Blossom Fiber and expressed an interest in purchasing 249,000 Y-Go undergarments for soldiers in extremely warm climates. The Army would pay the unit cost for direct materials, direct labor, and variable manufacturing overhead costs. In addition, the Army has agreed to pay an additional $0.95 per undergarment to cover all other costs and provide a profit. Presently, Blossom Fiber is operating at 70% capacity and does not have any other potential buyers for Y-Go. If Blossom Fiber accepts the Army's offer, it will not incur any variable selling expenses related to this order. Prepare an incremental analysis for the Blossom Fiber. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net Income Reject Accept Increase Order Order [Decrease) Revenues $ to $ Variable costs: Direct materials Direct labor Variable overhead Total variable costs Net income $ $ Should Blossom Fiber accept the Army's offer? Blossom Fiber should the Army's offer.Cullumber Ranch Inc. has been manufacturing its own finials for its curtain rods. The company is currently operating at 100% of capacity, and variable manufacturing overhead is charged to production at the rate of 60% of direct labor cost. The direct materials and direct labor cost per unit to make a pair of finials are $4 and $5, respectively. Normal production is 26,600 curtain rods per year. A supplier offers to make a pair of finials at a price of $13.25 per unit. If Cullumber Ranch accepts the supplier's offer, all variable manufacturing costs will be eliminated, but the $42,600 of fixed manufacturing overhead currently being charged to the finials will have to be absorbed by other products. (a) Prepare the incremental analysis for the decision to make or buy the finials. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net Income Make Buy Increase (Decrease) Direct materials $ $ $ Direct labor Variable overhead costs Fixed manufacturing costs Purchase price Total annual cost $ (b) Should Cullumber Ranch buy the finials? V, Cullumber Ranch should the finials. (c) Would your answer be different in (b) if the productive capacity released by not making the finials could be used to produce income of $37,700? , income would by $Ivanhoe, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a smartphone. The cost structure to manufacture 19,300 Tri-Robos is as follows. Cost Direct materials ($51 per robot) $984,300 Direct labor ($38 per robot) 733,400 Variable overhead ($6 per robot) 115,800 Allocated fixed overhead ($31 per robot) 598,300 Total $2,431,800 Ivanhoe is approached by Tienh Inc., which offers to make Tri-Robo for $115 per unit or $2,219,500. Following are independent assumptions. (a1) Assume that $405,000 of the fixed overhead cost can be avoided. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net Income Increase Make Buy (Decrease) Direct materials $ $ $ Direct labor Variable overhead Fixed overhead Purchase price Total annual cost $ $ $ Using incremental analysis, determine whether Ivanhoe should accept this offer. The offer

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