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T125-4 (similar to) Question Help Topaz Company makes decorative wedding cakes. The company is considering buying the cakes rather than baking them, which will allow
T125-4 (similar to) Question Help Topaz Company makes decorative wedding cakes. The company is considering buying the cakes rather than baking them, which will allow it la concerirale in decorating. The company averages 100 wedding cakes per year and incurs the folosing costs from baking wedding cakes: B Click the loon to view the costs Fixed costs are prirarily the depreciation on kitchen equipment such as byens and mixers. Tapaz expects to retain the aguigment. Topaz can buy the cakes for $29. 11. 12. Should Topaz make the cakes or buy them? Why? If Topaz decides to buy the cakes, what are some qualitative factors that Topez should also consider? 11. Should Topez make the cakes or buy thern? Why? (For the Difference column, use a minus sign or parentheses only when the cost of outsourcing exceeds the cost of making the cakes in-house. Make Outsource Difference (make-outsource) cakes A Data Table S 700 $ 700 Cake costs Variable costs Direct malerials Direct labor Variable manufacturing overhead Purchase cost Tolal differenlial cost of cakes 975 975 $ 700 100 100 Direct materiala Direct labor Variable manufacturing warhead Fiver manufacturing overhead Total manufacturing cost 975 100 1,175 $ 2.950 100 Number of calces $ Cast per cake 30 Print Done
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