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Old Camp Company manufactures awnings for its own line of tents. The company is currently operating at capacity and has received an ofter trom one

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Old Camp Company manufactures awnings for its own line of tents. The company is currently operating at capacity and has received an ofter trom one of its suppliers to make the 15,000 awnings it needs for $35 each. Old Camp's costs to make the awning are $22 in direct materials and $7 in direct labor. Variable manufacturing overhead is 75 percent of direct labor. If Old Camp accepts the offer, $52,000 of fixed manufacturing overhead currently being charged to the awnings will have to be absorbed by other product lines. Required: 1. Complete the incremental analysis for the decision to maebuy the awnings in the table provided below. et l Increase Make Buy (Decrease) Direct Matenals Direct l ahor Variable OH Fixed OH Purchase Price echtd

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