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Please include computing path.Thank you! 19. Fame Company manufactures engines. Fame produces all the parts necessary for its engines, ' except for one electronic component,

Please include computing path.Thank you!

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19. Fame Company manufactures engines. Fame produces all the parts necessary for its engines, ' except for one electronic component, which is purchased from two local suppliers: Hydra International and Parable Company. Both suppliers are reliable and rarely deliver late. Hydra sells the component for $12.00 per unit, while Parable sells the same component for $10.00 per unit. Fame purchases 80% of itsconiponents from Parable because of the lover price it offers. The total annual demand is 95,000 units. 1. . . rtivity Data Activity Cost Inspecting components (sampling only) ' $ 2l0,000 Reworking products (due to failed component) $2,454,000 . Warranty work (due to failed component) $1,923,000 II. Supplier Data H dra international 7 7 7 7 7r ' 77 7 7 Unit purchase price $l2.00 $10.00 Units purchased 19,000 76,000 Sampling hours y 60 2,600 Rework hours 150 3,800 Warranty hours 550 7,000 Calculate the total cost per component associated with using Parable Company as the supplier. (Note: Round the activity rates to the nearest dollar and the cost per component to two decimal places.) A. $12.45 B. $78.92 x c. $67.24 D. $15.74

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