Pottery Ranch Inc. has been manufacturing its own finials for its curtain rods. The company is currently operating at 100% of capacity and variable manufacturing overhead is charged to production at the rate of 61% of direct labor cost. The direct materials and direct labor cost per unit to make a pair of finals are $3.56 and $4.75, respectively. Normal production is 29,100 curtain rods per year A supplier offers to make a pair of finals at a price of $13.46 per unit. If Pottery Ranch accepts the supplier's offer all variable manufacturing costs will be eliminated, but the $40,400 of fixed manufacturing overhead currently being charged to the finals will have to be absorbed by other products. (a) Prepare an incremental analysis to decide if Pottery Ranch should buy the finals. (Round answers to negative sign preceding the number e.o. -45 or parentheseseo (45).) decimal places. 1250. Enter negative amounts using either a Net Income Increase (Decrease Make Direct materials Direct labor variable overhead costs IIIIII Fixed manufacturing costs Purchase price Total al cost 12:23 PM CALCULATOR Direct labor FULL SCREEN PRINTER VE Variable overhead costs Fixed manufacturing costs Purchase price Total annual cost (b) Should Pottery Ranch buy the finials? No . Pottery Ranch should not be the finals (c) Would your answer be different in (b) if the productive capacity released by not making the finials could be used to produce income of $70,2487 Click if you would like to Show Work for this question: Qen Show Work