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Pizana computer Company has been purchasing carrying cases for its portable computers at a purchase price of $58 per unit. The company, which is currently
Pizana computer Company has been purchasing carrying cases for its portable computers at a purchase price of \$58 per unit. The company, which is currently operating below full copscity, charges factory overhead to production at the rate of 44% of direct labor cost. The unit costs to produce comparabie carrying cases are expected to b as follows: If Pizana Computer Company manufattures the carrying cases, foced factory overhead costs will not increase and varibble factory oviertuead costs associated with the cases are expected to be 12% of the direct labor costs. a. Prepare a differential analyais doted May 31 to determine whether the company should make (Alternative. 1 ) or buy (Aitemative 2 ) the carrying case. Round your answers to two decimal places. If an amount is 2ero, enter "0
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