Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please Show your work!!! Prepare a make or buy analysis Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In Calibri Paste A-Alignment

image text in transcribedimage text in transcribed

Please Show your work!!!

Prepare a make or buy analysis Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In Calibri Paste A-Alignment Number Conditional Format a Formatting" Table Styles Clipboard r Font Styles I5 Alanco, Inc. manufactures a variety of products and is currently maunfacturing all of its own component parts 2 An outside supplier has offered to sell one of those components to Alanco. To evaluate this offer, the following 3 information has been gathered relating to the cost of producing the component internally 4 5Direct materials 6 Direct labor 7Variable manufacturing overhead 8 Fixed manufacturing overhead, traceable* 9 Fixed manufacturing overhead, common but allocated 10 Total cost 4.00 6.00 2.00 5.00 8.00 12 Supplier price 13 14 Units used per year 15 16 *Fixed manufacturing overhead, traceable is composed of two items 17 18 19 21.00 12,000 Depreciation of equipment (no resale value) Supervisor salary 30% 70% 20 1. Assuming the company has no alternative use for the facilities now being used to produce the 21 component, complete the following analysis to determine if the outside supplier's offer should be accepted 23 Per Unit Differential Cost 12,000 units 24 25 26 Cost of purchasing 27 Direct materials 28 Direct labor 29 Variable manufacturing overhead 30 Fixed manufacturing overhead, traceable Make Buy Make Buy Fixed manufacturing overhead, common 32 Total costs 34 Based on this analysis, write an if statement to determine if Alanco should make or buy the component 35 36 37 38 Alanco should the component

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Public Sector Accounting And Auditing In Europe The Challenge Of Harmonization

Authors: I. Brusca, E. Caperchione, S. Cohen, F Manes Rossi

2015th Edition

1137461330, 978-1137461339

More Books

Students also viewed these Accounting questions

Question

5. Describe the visual representations, or models, of communication

Answered: 1 week ago