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The management of Shatner Manufacturing Company is trying to decide whether to continue manufacturing a part or to buy it from an outside supplier. The

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The management of Shatner Manufacturing Company is trying to decide whether to continue manufacturing a part or to buy it from an outside supplier. The part, called CISCO, is a component of the company's finished product. The following information was collected from the accounting records and production data for the year ending December 31,2020 1.8,000 units of CISCO were produced in the Machining Department. 2. Variable manufacturing costs applicable to the production of each ciscO unit were: direct materials $5:10, direct labor $4.88, indirect labor $0.45, utilities $0.44. 3. Fixed manufacturing costs applicable to the production of CISCO were: All varlable manufacturing and direct fixed costs will be eliminated if CIScO is purchased. Allocated costa will not be eliminated if CISCO is purchased. So if CISCO is purchased, the fixed manufacturing costs allocated to CISCO will have to be absorbed by other production departments. 4. The lewest quctation for 8,000 CiSCO units from a supplier is 587,390 . 5. if CiscO units are purchased, freight and inspection costs would be $0.34 per unit, and receiving costs totaling $1.310 per year would be incurred by the Machining Department. (a) Prepare an incremental analysis for CISCO, (Enter nesutive amounts using either a negutive sign preceding the number eg:-45 or porentheseses. (45)) (a) Prepare an incremental analysis for CISCO, (Enter negative amounts using cither o nezative sign preceding the number eg. -45 or parentheseseg. (45)) (b) Based on your analysis, what decision should mansgement make

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