utdoor Life manufactures snowboards. Its cost of making 1,880 bindings is as follows: Click the icon to view the costs.) Suppose an outside supplier will sell bindings to Outdoor Life for $13 each. Outdoor Life will pay $2.00 per unit to ransport the bindings to its manufacturing plant, where it will add its own logo at a cost of $0.40 per binding, Read the fequirements Outsourcing Decision Bindings 23,650 $ 6,900 Bindings 28,952 $ 4,700 Variable Costs Difference 5,302 (2,200) 3,102 Plus: Fixed Costs 30,550 $ 33,652 $ Total cost of 1,880 bindings Decision: Make the bindings. Requirement 2. The facilities freed by purchasing bindings from the outside supplier can be used to manufacture another product that will contribute $3,200 to profit. Total fixed costs will be the same as if Outdoor Life had produced the bindings. Show which alternative makes the best use of Outdoor Life's facilities: (a) make bindings, (b) buy bindings and leave facilities idle, or (C) buy bindings and make another product. (Enter a "0" for any zero balances. Round any per unit amounts to the nearest cent and your final answers to the nearest whole dollar.) Buy (Outsource) Bindings Incremental Analysis (a) Make (b) Leave (c) Make Outsourcing Decision Binding Facilities Idle Another Product 23650 Variable Costs Plus: Fixed Costs Total cost of 1,880 bindings Less: Profit from another product Net cost Data Direct materials. $ 18,250 3,300 . Direct labor..... Variable manufacturing overhead .... 2,100 6,900 Fixed manufacturing overhead $ 30,550 Total manufacturing costs ... Cost per pair ($30,550 + 1,880) ..... $ 16.25 . Print Done du