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Troy Engines, Ltd manufactures a variety of engines for use in heavy equipment. The company has always produced to the necessary parts for its engines,
Troy Engines, Ltd manufactures a variety of engines for use in heavy equipment. The company has always produced to the necessary parts for its engines, including all of the carburetors An outside suppliers offered to one type of carburetor to Troy Engines, Ltd. for a cost of $35 per unit. To evaluate this offee Toy Engines Lid.nes gathered the following formation relating to own cost of producing the carburetor internally Direct ateriais Direct labor Variable manufacturing werhead bewufacturing overhead travel Pandufacturing overhead alated 17,00 units Unit $ 170, 1.00 60.000 *One-third supervisor salaries two-thirds depreciation of special equipment no resale Required Assuming the company has no alternative use for the facilities that we now being used to produce the carburetors, what would se the firencial advantage disadvantage of buying 17000 carburetors from the outside supplier 2. Should the outside suppliers offer be accepted 3. Suppose that if the carburetors were purchased, Toy Engines lid, could use the freed capacity to launch a new product. The segment margin of the new product would be $170.000 per year. Given the new assumption, what would be the financial advantage disadvantage of buying 17000 Carburetors from the outside supplert 4. Given the new sumption in requirement should use outside suppliers offer be accepted Complete this question by entering your answers in the tabs below Required 1 od 2 Required od 4 Arming the company has netratives for the fact that are now being to produce the carburant would be the fundal advantage diadvantage of buying 17,000 carburetorom the wide Supplier's offer be accepted? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 they Should the outside supplier's offer be accepted? Yes No per year. Given this new assumption, what would (disadvantage) of buying 17,000 carburetors from the outside supplier? 4. Given the new assumption in requirement 3, should the outside supplier's offer be accepted? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Red red 3 Required 4 Suppose that if the carburetors were purchased, Troy Engines, Ltd., could use the freed capacity to launch a new segment margin of the new product would be $170,000 per year. Given this new assumption, what would be the advantage (disadvantage) of buying 17,000 carburetors from the outside supplier? Financial (disadvantage) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Given the new assumption in requirement 3, should the outside supplier's offer be accepted? Yes No
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