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Troy Engines Ltd. manufactures. a variety of engines for use in heayy equipment. The company has always produced all of the necessary parts for its engines, including all of the carburetors. An outside supplier has offered to produce and sell one type of carburetor to Troy Engines Ltd. for a cost of 538.5 per unit. To eyaluate this offer, Troy Engines Ltd. has gathered the following information relating to its own cost of producing the carburetor internally: Troy Engines Ltd. manufactures a variety of engines for use in heavy equipment. The company has always produced all of the necessary parts for its engines. including all of the carburetors. An outside supplier has offered to produce and sell one type of carburetor to Troy Engines Ltd. for a cost of $33.5 per unit. To eyaluate this offer, Troy Engines Ltd. has gathered the following information relating to its own cost of producing the carburetor internally: 15.50] For Unite: iJritf- error Direct materials I 14 $231M Direct labour 11 131.511] Variable manufacturing overhead 4 BEJJII Fiitad manufacturing overhead. traceable 15' 123.?5] Fiitad manufacturing orerhead. allocated 1|] 15511)] Total cost $115.5 W211] *Dne-third superris ory salaries; two-thirds depreciation of special equipment {no resale yaiue}. Required: 1-a.Compute the total differential cost per unit for producing and buying the product. {Round your answers to 1 decimal plum} Total differentiai cost [per unit] _ _ 1-h. Should the outside suppliers offer be accepted? D 'fes 0' No 2-s.5uppose that if the carburetors were purchased. Troy Engines Ltd. could use the freed capacity to launch a new product. The segment margin of the new product would be $193M per year. Compute the total differential cost in producing and buying the product 1rotten the segment margin is foregone on a potential new product line. Total differentiai cost _ _ lb. Should Troy Engines Ltd. accept the utter to buy the carburetors for $33.5 per unit? {3' \"fee 0 No