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Sed ative Assignment Homework The costs above relate to making bom the p balm and the tube that contains it As an alternative to making

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Sed ative Assignment Homework The costs above relate to making bom the p balm and the tube that contains it As an alternative to making the tubes for Chap-on. Sliven has approached a supplier to discuss the possibility of buying the tubes The purchase price of the suppliers empty tubes would be $2.00 per box of 24 tubes If Silven Industries stops making the tubes and buy them from the outside supplier its direct labor and variable manufacturing overhead costs per box of Chap-Off would be reduced by 10% and its direct materials costs would be reduced by 30% Required: 1 Siluen buys its tubes from the outside supplier how much of its own Chap-Off manufacturing costs per box wit it be able to avoid (Hint You need to separate the manufacturing overhead of $200 per box that is shown above into its variable and fed components to derive the correct answer 2. What is the financial advantage (disadvantage) per box of Chap-Off Silven buys its tubes from the outside supplier? 3. What is the financial advantage disadvantage in total (not per boof Silven buys 105.000 boxes of tubes from the outside supplier 4. Should Silver Industries make or buy the tubes? 5. What is the maximum price that Silven should be willing to pay the outside supplier for a box of 24 tubes? 6. Instead of sales of 105.000 boxes of tubes, revised estimates show a sales volume of 131000 boxes of tubes. At this higher sales volume, Silven would need to rent extra equipment at a cost of $46,000 per year to make the additional 26.000 boxes of tubes Assuming that the outside supplier will not accept an order for less than 131000 boxes of tubes, what the financial advantage (disadvantage) in total (not per box if Siven buys 131,000 boxes of tubes from the outside supplier? Given this new information should Silven Industries make or buy the tubes? 7 Refer to the data in Required 6 Assume that the outside supplier wil accept an order of any size for the tubes at a price of $2.00 per box. How many boxes of tubes should Silver make? How many boxes of tubes should It buy from the outside supplier? ances Complete this question by entering your answers in the tabs below Regi Reg2 Reg Peg 4 Ras Reso If Silver buys its tubes from the outside supplier how much of its own Chap-off manufacturing costs per box will it be able to avold (Hint: You need to separate the manufacturing overhead of 52.00 per box that is shown above to its variable and Fixed components to derive the correct answer. (Do not round intermediate calculations. Round your answer to 2 decimal places) Avidate manualuring its par hex of Chap On Req2 > - ere to search O

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