PLEASE SHOW WORK ( CELL REFERENCE IF POSSIBLE)

Make or Buy JayCo Ltd. manufactures tennis racquets. In addition to the metals for the frame, each racquet requires 3 yards of nylon blend string, which JayCo Ltd. also produces. Recently, Strung Out Strings has approached JayCo Ltd. to sell string for $15 per pack. Jayco has provided you the following information about their costs for producing 39,500 packs of string from last year: $ Units (packs) Direct materials Direct labor Variable MOH S Per year 39,500 177,750 177,750 79,988 150,000 585,488 $ $ Fixed MOH Total Cost S Currently, Jay Co Ltd. has no other plans for the facilities that produce the string. Should JayCo Ltd. continue to make the string internally, or accept the offer from Strung Out String? (Show calculations and explain.) Per unit Per year Make Buy Make Buy Select: Should JayCo Ltd. continue to make the string or buy it? Explain. Select: JayCo Ltd.'s R&D department wants to release a new racquet for kids that will provide a Net Income of $50,000 (Hint: this is TOTAL profit). JayCo Ltd. could buy the string fom an outside supplier and then remodel the string facility for $7,500 to make these kids racquets. With this new development, should JayCo Ltd. continue to make the string, or buy from Strung Out Strings and make the new kids racquets? (Show calculations and explain.) Per year Make Buy Financial advantage Should JayCo Ltd. continue to make the string or buy it to remodel? Explain. Select