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Outdoor Sports manulactures snowboards, Its cost of making 1,880 bindings is as follows: (Click the icon to view the costs.) Suppose an outside supplier will
Outdoor Sports manulactures snowboards, Its cost of making 1,880 bindings is as follows: (Click the icon to view the costs.) Suppose an outside supplier will sell bindings to Outdoor Sports for $11 each. Outdoor Sports will pay $3.00 per unit to tranaport the bindings to its manufacturing plant, where it will add its own logo at a cost of $0.40 per binding. Read the reguirements. Requirement 1. Outdoor Sports' accountants predict that purchasing the bindings from the outside suppler will enable the company to avoid $2,400 of fxed overtead Prepare an analysis to show whether the company should make or buy the bindings. (Enter a "0" for any zero balances. Round any per unit amounts to the nearest cent and your finel answers to the nearest whole doliar. Use a minus sign or parentheses in the Difference column when the cost to make exceeds the cost to buy). Data table \$3.00 per unit to transport the bindings fo its manulacturing plant, ppler will enabie the company to avoid 32,400 of fluad overhead. ny zero balances. Round any per unit amounts to the nearest cent column when the cost to make exceeds the cost to buy) Requirements hsport the bindings to ts manufacturing plant. 1. Outdoor Sports' aocountants predict that purchasing the bindings from the outside supplier will enable the company to avoid $2,400 of fixed overhead. Prepare an andysis to show whether the company should make or buy the bindings. 2. The facilities freed by purchasing bindings from the outside supplier can be used to manulacture another product that will contribute $3,100 to profit. Total fixed costs will be the same as if Outdoor Sports had produced the bindings. Show which alternative makes the best use of Outdoor Sports' facilities: (a) make bindings, (b) buy bindings and leave facilites idle, or (c) bey bindings and make another product. Outdoor Sports manufactures snowboards. Its cost of making 1,880 bindings is as follows: Requirement 1. Outdoor Sports' accountants predict that purchasing the bindings from the outside supplier will enable the company to avoid $2,400 of firad ovarhend. Prepare an analysis to show whether the company should make or buy the bindings. (Enter a "O" for any zoro balances. Round any per unit amounts to the nearest cant and your final answers to the nearest whole dollar. Use a minus sign or parentheses in the Diflerence column when the cost to make axceeds the cost to buy) Requirement 2. The facilities freed by purchasing bindings from the outside supplier can be used to manufacture another product that will contribute $3, toe to proft. Total fixed costs will be the same as if Outdoor Sports had produced the bindings. Show which alternative makes the best use of Outdoor Sports' facilicles: (a) make bindings, (b) buy bindings and leave facilities idle, or (c) buy bindings and make another product. (Enter a "0* for any zero balances. Round any per unit amounts to the neantst cent and your final answers to the nearest whole dollar.) Outdoor Sports manufactures snowboards, Its cost of making 1,880 bindings is as follows: Requirement 2. The facilities freed by purchasing bindings from the outside supplier can be used to manufacture another product that will contribute 53,100 to profit. Total fxed costs will be the same as if Outdoor Sports had produced the bindings. Show which alternative makes the bost use of Outdoor Sports' facilities: (a) make bindings, (b) buy bindings and leave facilities idle, or (c) buy bindings and make another product. (Enter a " 0 " for any zero balances. Round any per unit amounts to the nearest cont and your final answers to the nearest whole doliar.) Outdoor Sports manufactures snowboards, Its cost of making 1,880 bindings is as follows: (Click the icon to view the costs.) Suppose an outside supplior will sell bindings to Outdoor Sports for $11 each, Outdoor Sports will pay $3.00 per unit to transport the bindings fo its manufacturing plant, Where it will add its own loge at a cost of $0.40 per binding. Read the requirements
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