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The Corp000 m to be used to confermachines. The weco Direct materials Direct labor Variable manufacturing over Fixed manufacturing wheel $8.50 $8.50 53.4 An outside

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The Corp000 m to be used to confermachines. The weco Direct materials Direct labor Variable manufacturing over Fixed manufacturing wheel $8.50 $8.50 53.4 An outside supplier recently began producing a comparable mot that could be used in the sewing machine. The price feed to SP Corporation for $2395 SP Corporation decided not to make the motors, there would be now for the production faces and one of the feed manufacturing overhead cost could be avoided. Direct lobortis avaible con company. The ancil overtage de forme company as a result of making the monors ramen buying me to me outside we would be The SP Corporation makes 36,000 motors to be used in the production of its sewing machines. The average cost per motor at this level of activity is: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead $9.50 $8.50 $3.45 $4.40 An outside supplier recently began producing a comparable motor that could be used in the sewing machine. The price offered to SP Corporation for this motoris $23.95. If SP Corporation decides not to make the motors, there would be no other use for the production facilities and none of the fixed manufacturing overhead cost could be avoided. Direct labor is a variable cost in this company. The annual financial advantage (disadvantage) for the company as a result of making the motors rather than buying them from the outside supplier would be

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