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Somerset Computer Company has been purchasing carrying cases for its portable computers at a purchase price of $62 per unit. The company, which is currently

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Somerset Computer Company has been purchasing carrying cases for its portable computers at a purchase price of $62 per unit. The company, which is currently operating below full capacity, charges factory overhead to production at the rate of 41% of direct labor cost. The unit costs to produce comparable carrying cases are expected to be as follows: If Somerset computer Company manufactures the carrying cases, fixed factory overhead costs will not increase and variable factory overhead costs associated with the cases are expected to be 14% of the direct labor costs. a. Prepare a differential analysis dated April 30 to determine whether the company should make (Alternative 1) of buy (Alternative 2) the carrving case. If required, round your answers to two decimal places. If an amount is zero, enter " 0 ". Fenittad a. For the make and bury alternatives provide the unit costs. Use percentage to separate wariable and fixed costs. Determine the differential effect on income of the reventes, costs, and income (toss) by subtracting alternative 1 from alternatlve 2

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