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Carla Vista Company manufactured 7,080 units of a component part that is used in its...

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Accounting

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Carla Vista Company manufactured 7,080 units of a component part that is used in its product and incurred the following costs: Another compary has offered to sell the same component part to the compary for $13 per unit. The fixed manufacturing overhead consists mainly of depreciation on the equipment used to manufacture the part and would not be reduced if the component part was purchased from the outside firm. If the component part is purchased from the outside firm. Carla Vista Company has the opportunity to use the factory equipment to produce another product which is estimated to have a contribution margin of $25,960. Prepare an incremental analysis report for Carla Vista Company which can serve as informational input into this make or buy decision. (Enter negative amounts using either a negative sign preceding the number es. 45 or parentheses es. (45). Do not leave any field blank. Enter 0 for the amounts)

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