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Qosh He - y Beryantots treat the componentend to be a man company Product cat Pas offered to the component of 12.30 per un mare current 1400 of the contented on 10.000 compris Bamay not entypreds This enter is based on the flowing station che con lo view tomon) None of Gamers wil de components out where y bevond te buda new product. This new product would be expected to get 135.000 of contro Meirement on top of the manding of the component were more by how mucho a " for any arobarometer tereta Aralysis Outsource Dutning Decision Compen Component Difference 1041600 DataTitle Pued cost Total cost of 5.000 ports 1645500 115.00 Director al unit 4.00 Lees om produs 0 95000 Direct 5.25 NOS 1010000 (116000 Variable manufacturing overhead perut 1.25 Feed manufacturing overhead per unit 3.50 Total manufacturing costs per un 55000 10 Done Enter yerinde wethodox Chuck 3 parts remaining Clo CA Make Carey Eropres manchas one of the components used to assembleits main company product Specialty This current cont per una based on the flowing calculators Products, Inc., hered to make the component of of $12.30 per unit. Ramey Enterprises current coulis Co the con low the otion $1400 per unit of the component, based on the 5.000 componentu amey Enterprises currently produce None Bomay interfaces will be eliminated the componented. However, thered could be used to build a new prom The new product would be rected to per 535,000 per year Requirement Bernay Erste marturing of the component will operating income order by how for any zero beheer cool make the time to buy Inmental Analysis Outsource Outsourcing Decision Component Comment Die Data Table 97300 TO 1630001 Pus TO 200 Direct material per 20 wooo Dreater per unit SM 019 21 Variable manung werden 30 Pred manufacturing and 14.00 Tamarating con D pen 5 Score: 0 of 2 pts E8-29A (similar to) Barney Enterprises manufactures one of the components used to assemble its main company product. Specialty Products, Inc., has offered to make the component at a cost of $12.30 per unit. Barney Enterprises' current cost is $14.00 per unit of the component based on the 85,000 components that Barney Enterprises currently produces Read the requirements Requirement 1. If Barney Enterprises outsources the manufacturing of the component will operating income increas when the cost to make exceeds the cost to buy) Make Outsource Component 892500 Component 1045500 Difference (153000) i Incremental Analysis Outsourcing Decision Variable costs Plus: Fixed costs Total cost of 85,000 components Less: Profit from another product 0 0 0 892500 1045500 (153000) 35000 D 0 35000 D Netcost 892500 1010500 (118000) VE FE Enter any number in the edit fields and then click Check Answer parts remaining Clear esc 80 Uod DO ES / Question Help This current cost per unit is based on the following calculations: (Click the icon to view the information.) None of Barney Enterprises' fixed costs will be eliminated if the component is outsourced. However, the freed capacity could be used to build a new product. This new product would be expected to generato $35,000 of contribution margin per year or decrease? By how much? (Enter a "O" for any zero balances. Use a minus sign or parentheses in the Difference column Data Table $ 4.00 Direct material per unit. Direct labor per unit. Variable manufacturing overhead per unit Fixed manufacturing overhead per unit Total manufacturing costs per unit 5.25 1.25 3.50 14.00 Print Done ? Check Answer Clear All 612 Dil EVO FB ) 0 9 7 8
