PLEASE ANSWER ALL PARTS...
Winter Sports manufactures snowboards. Its cost of making 1,800 bindings is as follows: (Click the icon to view the costs.) Suppose Topnotch will sell bindings to Winter Sports for $12 each. Winter Sports would pay $3 per unit to transport the bindings to its manufacturing plant, where it would add its own logo at a cost of $0.70 per binding. Read the requirements. Requirement 1. Winter Sports' accountants predict that purchasing the bindings from Topnotch will enable the company to avoid $2,400 of fixed overhead. Prepare an analysis to show whether Winter Sports should make or buy the bindings. (Only enter the net relevant costs. For the Difference column, use minus sign or parentheses only when the cost of outsourcing exceeds the cost of making the bindings in-house.) Make Outsource Difference Binding costs Bindings Bindings (Make-Outsource) Data Table Variable costs: Direct materials Direct labor Direct materials $ 17,570 Variable overhead Direct labor 3,000 Fixed costs Variable overhead 2,060 7,200 Purchase price from Topnotch Transportation Fixed overhead $ 29,830 Logo Total manufacturing costs for 1,800 bindings Total differential cost of 1,800 bindings Print Done Should Winter Sports make or buy the bindings? Decision: Requirem which alte purchasing bindings from Topnotch can be used to manufacture another product that will contribute $3,200 to profit. Total fixed costs will be the same as if Winter Sports had produced the bindings. Show f Winter Sports' facilities. (Only enter the net relevant costs. Enter all costs as positive values. Use a minus sign or parentheses for decreases to net costs.) Buy the bindings. Enter any Make the bindings. nd then continue to the next question. Winter Sports manufactures snowboards. Its cost of making 1,800 bindings is as follows: (Click the icon to view the costs.) Suppose Topnotch will sell bindings to Winter Sports for $12 each. Winter Sports would pay $3 per unit to transport the bindings to its manufacturing plant, where it would add its own logo at a cost of $0.70 per binding. Read the requirements Requirement 2. The facilities freed by purchasing bindings from Topnotch can be used to manufacture another product that will contribute $3,200 to profit. Total fixed costs will be the same as if Winter Sports had produced the bindings. Show which alternative makes the best use of Winter Sports' facilities. (Only enter the net relevant costs. Enter all costs as positive values. Use a minus sign or parentheses for decreases to net costs.) Outsource Bindings Make Facilities Make New Binding costs Bindings Idle Product Data Table Variable Costs: Direct materials Direct labor Direct materials $ 17,570 Variable overhead Direct labor 3,000 Fixed costs Variable overhead 2,060 7.200 Fixed overhead Purchase price from Topnotch Transportation Logo $ 29,830 Total manufacturing costs for 1,800 bindings Expected profit from new product Print Done Expected net cost of obtaining 1,800 bindings Which alternative makes the best use of Winter Sports' facilities? Decision
