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Decision Mountain Air Limited manufactures a line of room air purifiers. Management is the predicted cost per unit of an auto air purifier follows Direct materials E17-22. Outsourcing (Make-or-Buy) LO1, 2, the possible production of an air purifier for automobiles. Based on an annual volume of IBC 140 Direct labor. Total $20.4 These cost predictions include $80,000 in fixed factory overhead averaged over 10,000 units. The completed air purifier units include a battery-operated electric motor, which Mountain A assembles with parts purchased from an outside vendor for $2.00 per motor. Mini Motor Compay h offered to supply an assembled battery-operated motor at a cost of $5.50 per unit, with a minimuma nual order of 5,000 units. If Mountain Air accepts this offer, it will be able to reduce the variable hr and variable overhead costs of the auto air purifier by 50 percent. Required a. Determine whether Mountain Air should continue to make the electric motor or outsoure Mini Motor Company. (Hint: analyze the relevant costs of making the "motors," not purifier.) the entire ar