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Prepare a per unit analysis of the differential costs. (Enter negative amounts using either a negative sign preceding the number e.g. -45 r parentheses e.g.
Prepare a per unit analysis of the differential costs. (Enter negative amounts using either a negative sign preceding the number e.g. -45 r parentheses e.g. (45).) Your answer is partially correct. If Carla Vista suddenly finds an opportunity to rent out the unused capacity of its factory for $77,600 per year, would your answer to part (a) change? . This is because the net income will by $ eTextbook and Media Last saved 1 second ago. Attempts: 1 of 2 used Saved work will be auto-submitted on the due date. Autosubmission can take up to 10 minutes. Carla Vista Company purchases sails and produces sailboats. It currently produces 1,250 sailboats per year, operating at normal capacity, which is about 80% of full capacity. Carla Vista purchases sails at $262 each, but the company is considering using the excess capacity to manufacture the sails instead. The manufacturing cost per sail would be $94 for direct materials, $84 for direct labor, and $90 for total manufacturing overhead. The $90 total manufacturing overhead includes $77,500 of annual fixed overhead that is allocated using normal capacity. The president of Carla Vista has come to you for advice. "It would cost me $268 to make the sails," she says, "but only $262 to buy them. Should I continue buying them, or have I missed something
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