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Troy Engines, Umited, manufactures a variety of engines for use in heavy equipment. The conipany has always produced all of the necessary parts for its

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Troy Engines, Umited, manufactures a variety of engines for use in heavy equipment. The conipany has always produced all of the necessary parts for its engines. Including all of the carburetors, An outside supplier has offered to sell one type of carburetor to Troy Engines. Limited, for a cost of $39 per unit. To evaluate this offer, Troy Engines. Limited, has gathered the following information relating to its own cost of producing the carburetor internally: Required: 1. Assuming the company has no alternative use for the focistes that are now being used to produce the carburetors, what would be. the financial advantage (disodvantoge) of buying 21,000 carburetors from the outside supplier? 2 Shoold the outside supplier's ofler be accepted? 3 Suppose that if the cinturetors were purchased. Troy Engines, Limited, could use the freed capocily to launch a new product. The segmeat margin of the new product would be $210.000 per year. Given this new asrumption, what would be the financiat advantage (disalvantige) of buying 21.000 catburetors from the outside supplier? A. Given the new assumption in requirement 3, should the outside supplier's olfer be accepted

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