Question 2 Part A Sample question with answer Bo Digital company has the capacity of producing 50.000 units amoally. Budgeted operating results for 2020 are given below the table Sales (40.000 $281 Variable costs Manufacturing (40.000 at 54.60 Selling (40.000 $0.95 Admin (40.000 $120 Fixed Cost Manufacturing $6 Selling & administrative SI 000 Show all you wearing A customer wants to buy 15.000 units a price of S20 per unit All fixed cost will decrease by 10% if the special order is accepted Variable manufacturing costs would increase by 15% per unit the special order only REQUIRED Determine whether the company should produce the special de Show all working and the formal provided BUY OR MAKE Question Buzz LDT management is making a decision of whether to make part that is used in the making of a Product or to buy it from outside supplier Based on its financial report it seems it coste company 573.00 per unit to make the component. The cost is broken in the following manner Direct materials 50 000 Direct Labor 58.000 Variable Manufacturing Overhead 28.000 Fixed Manufacturing Overhead 10,000 Company w 2000 comenta pery An supplier John LTD offered to provide the part at $78.00 Some of the managers believed that they have to consider the proposal because the company may save as the cost