ng Company is trying to decide whether to contine t ung p ortowy The flowing information was collected from the counting records and production 1.7.500 of CISCO were produced in the Machining Department 2. Varma c e to the reduction of each CISCO Sredmeti 4.77. rector 44. rector 104, 10:42 mo r gos cable to the production of CISCO from an oude supplier. The part called CISCO s for the wending December 11, 2017 o nt of the finished Costem Deco Direct 2.100 Allocated 900 $3,510 .10 All ri The t W CISCO (a) g orected will be limited CISCO is purchased A d wo or 7.00 CISCO wp .635. her and inspection costs would be 10.38 per and rec o increment s for CISCO (Enter negative amount with o b y production departments o th rd e e d by the Machining Department parentheses (5) by CISCO Director PRINTER VERSION BACK NEXT CALCULATOR All variable manufacturing and directed costs will be eliminated CISCO is purchased. Allocated costs will have to be absorbed by other production departments 4. The lowest Quotation for 7,900 CISCO units from a supplier is $79,625 S. IF CISCO units are purchased, freight and inspection costs would be 10.38 per unit, and receiving costs totaling $1,310 per year would be incurred by the Machining Department (a) Prepare an incremental analysis for CISCO. (Enter negative amounts using either a negative sin preceding the number -45 or parentheses (451) Make CISCO Buy CISCO Net Income Increase (Decrease) Direct material Direct labor Indirect labor Utilities Depreciation Property taxes Insurance Purchase price Freight and inspection Receiving costs Total annual cost (b) Based on your analysis, what decision should management make The company should (c) Would the decision be different if Shatner Company has the opportunity to reduce $3,000 of net income with the facties currently being used to an acture CISCO C u d ilma tn Show Work for this question: Deans Work