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Outdoor Fun manufactures snowboards. Its cost of making 1,880 bindings is as follows: Click the icon to view the costs.) Suppose an outside supplier will

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Outdoor Fun manufactures snowboards. Its cost of making 1,880 bindings is as follows: Click the icon to view the costs.) Suppose an outside supplier will sel bindings to Outdoor Fun for $15 each Outdoor Fun will pay $2.00 per unit to transport the bindings to ts manufacturing plant, where it will add its own logo at a cost of $0.30 per binding. Read the requirements Requirement 1. Outdoor Fun's accountants predict that purchasing the bindings from the outside supplier will enable the company to avoid $2.200 of fixed overhead. Prepare an analysis to show whether Outdoor Fun should make or buy the bindings. (Enter a "* for any zero balances. Round any per unit amounts to the nearest cent and your final answers to the nearest whole dollar. Use a minus sign or parentheses in the Difference column when the cost to make exceeds the cost to buy) Incremental Analysis Buy (Outsource) Outsourcing Decision Bindinge Bindinge Difference Variable costs Plus: Food Costs Total cost of 1 800 bindings Requirement 2. The facilities freed by purchasing bindings from the outside suppler can be used to manufacture another product that will contribute $3,100 to profit. Total fixed costs will be the same as it Outdoor Fun had produced the bindings Show which tomative makes the best use of Outdoor Furlus facilities: (a) make bindings, ) buy bindings and leave facilities idle, or (e) buy bindings and make another product. (Enter a "O" for any zero balances Round any per unit amounts to the nearest cent and your final answers to the nearest whole dolar) Buy Outsource) Bindings Irmantalans Flak Enter wy number in the edit fields and then continue to the next question Outdoor Fun manufactures snowboards. Is cost of making 1,880 bindings is as follows: (Click the icon to view the costs.) Suppose an outside supplier wil soll bindings to Outdoor Fun for $15 each. Outdoor Fun will pay $2,00 per unit to transport the bindings to ze manufacturing plant, where it will add its own logo at a cost of $0.30 per binding Read the requirements Decision Requirement 2. The facilities freed by purchasing bindings from the outside supplier can be used to manufacture another product that will contribute $3.100 to profit. Total fixed costs will be the same as it Outdoor Fun had produced the bindings. Show which alternative makes the best use of Outdoor Fur'us facilities: (a) make bindings. () buy bindings and leave facilities idle, or (e) buy bindings and make another product (Enter a "O" for any zero balance Round any per unit amounts to the nearest cent and your final answers to the nearest whole dollar) Buy Outsource) Bindings Incremental Analysis (a) Make (b) Leave (0) Make Outsourcing Decision Binding Facilities Idle Another Product Variable costs Plus Fred Costs Total cost of 1.600 bindings Less: Profit from another product Netcost Decision Enter any number in the dit fields and then continun to the next question X 0 Data Table ide 'ss fa to profit. bindings the 18,250 (Out ave Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead.. Total manufacturing costs Cost per pair ($30,550 / 1,880) 3,300 2,100 6,900 s Idid $ 30,550 $ 16.25 Print Done

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