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Partner is a managerial accountant at Pytec Corporation, Paibec is under intense cost competition, and Martinez was asked to evaluate whether Palbec should continue
Partner is a managerial accountant at Pytec Corporation, Paibec is under intense cost competition, and Martinez was asked to evaluate whether Palbec should continue to manufacture part MT-RP or purchases from Marley Cortony in 222 Marley added a bid to mpply the 35,000 MT AF units that Pane needs for 2022 at a price of $1560 each From 2021 plant recents and interviews with Janice LA, the plant manages Martinez gathered the fuibwing information regarding Paber's costs to manufacture 21,000 units of 221 Direct mater Pant space rental ( opment (fi Ofer verhead variable Find Total $210.000 155,000 14,000 14,000 103,230 126,170 $723,300 Luther that If washed from Harry dred meterial and direct lebo we purchased from Mary s0,000 of the feed overhead costs a whased from Harley, plant space will f Martines estimated that 31.000 units of M-4 would be needed in 2012 ta per unit were mere ikely to be higher as 2022 by a and Sriv sl be seve ented, and equipment will not have to be based, but it will cost $10,000 and $4,500, resively to termmate the two contracts REQUIRED (ROUND ALL VARIABLE COSTS PER UNIT TO TWO DECIMAL PLACES) phased from Harley in 2022, what would be the effect on Pallecs profs (Note: the buy us are less than the make costs, enter the difference as a positive number; the ma efference as a negative number] byter the
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