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Tests of producing 80,000 for egenates on a Ratowe Finish at Time left 2:27:10 Direct Material Direct Labor $100,000 $275,000 Variable Overhead $200,000 $60,000 Fixed

Tests of producing 80,000 for egenates on a Ratowe Finish at Time left 2:27:10 Direct Material Direct Labor $100,000 $275,000 Variable Overhead $200,000 $60,000 Fixed Overhead Instead of making the switches, the company has the opportunity to buy the switches at $12.00 per unit. If the company purchases the switches, all the variable costs and one-fourth of the fixed costs will be eliminated. Use the information above to select the correct answer for each item below: (a) Information NOT relevant to this decision is: (b) The total cost of making the switches is: (c) The total cost of buying the switches is: the company purchases the switches, all the variable costs and one- eliminated. Use the information above to select the correct answer for each item below: (a) Information NOT relevant to this decision is: (b) The total cost of making the switches is: (c) The total cost of buying the switches is: (d) The effect on Net Income of buying the switches is: (e) Based on (d), Braxton company buy the switches (f) If Braxton Company could release productive capacity that would general additional income of $14,000 by buying the switches, that change the decision in (8). MacBook Air

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