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ASD Company currently makes 3,000 product B in a year. The unit costs to produce...

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Accounting

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ASD Company currently makes 3,000 product B in a year. The unit costs to produce product B are: Per unit Is 40.00 18.00 10.20 30.80 199.00 Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing over head Total unit cost An outside supplier has offered to provide ASD Company with the 3,000 product B at an $70.00 per unit price. Fixed overhead is not avoidable. If ASD Company accepts the outside offer. what will be the effect on short-term profits? 592.400 increase no change $87,000 increase $5,400 decrease Refer to Question 15 (ASD Company). If ASD Company rejects the outside offer, what will be the effect on short-term profits? O $92,400 increase O $87,000 increase O $5,400 decrease O no change Refer to Question 15 (ASD Company). What is the maximum price ASD Company should pay the outside supplier? O $70.00 $68.20 O $59.00 $99.00

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