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stion not be displayed correctly 3 Question 2 E-Card, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home
stion not be displayed correctly 3 Question 2 E-Card, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home 1 for fires and gas leaks and then transmit this information to a smartphone. 5 The cost structure to manufacture 4.000 units of Tri-Robos is as follows. 5 Cost Direct materials ($50 per robot) $200.000 Direct labor ($40 per robot) 160,000 Var le overhead ($6 per robot) 24,000 Allocated fixed overhead ($30 per 120.000 robot) Total costs $504,000 E-Card is approached by Tienhka Inc., which offers to make Tri-Robo for $115 per unit. Instructions Using incremental analysis, determine whether E-Card should accept this offer under each of the following independent assumptions. a) First, assume that $81,000 of the fixed overhead cost can be avoided. b) Assume that none of the fixed overhead can be avoided. However, if the robots are purchased from Tienhka Inc., E-Card can use the released productive resources to generate additional income of Difference Make in NI (+ or -) $ 75,000 Buy
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