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Fiber Systems manufactures an optical switch that it uses in its final product FiberSystems incurred the following manufacturing costs when it produced 71,000 units last year: (Click the icon to view the manufacturing costs.) Read the requirements Requirement 1. Given the same cost structure, should FiberSystems make or buy the switch? Show your analysis. Complete an incremental analysis to show whether Fiber Systems should make or buy the switch (Enter a "O" for any zero amounts. Round amount Fiber Systems Incremental Analysis for Outsourcing Decision Buy Difference Make Unit Unit Variable cost per unit: Direct materials Direct labor 0 0 Data Table Variable overhead 0 14.50 Purchase price from outsider (1450) 14.50 2.00 Total variable cost per unit Direct materials Direct labor Variable MOH Fixed MOH Total manufacturing cost for 71,000 unite Print Dor Choose from any list or enter any number in the input fields and then click Check Answer owing manufacturing costs when it Fiber Systems does not yet know how many switches it will need this year, however, another company has offered to sell Fiber Systems the switch for $14,50 per unit of Fiber Systems Buys the switch from the outside supplies, the manufacturing facilities that will be idle cannot be use for any other purpose, yet none of the fixed costs are avoidable analysis *o* for any zero amounts Round amounts to the nearest cent. Use a minus sign of parentheses when the cost to buy exceeds the cost to malo) Requirements Data Table 1. Given the same costructure should brystems make or buy the switch? Show your analysis 2. Now, assume that Fiber Systems can avoid 595.000 of food costs a year by outsourcing production. In addition becauses are increasing Fiberbystems needs 70,000 switches year rather than 71,000 switches What should the company do now? a. Given the last scenario what is the most Fibersyutamu would be willing to pay to outsource the switches Print Done Dirent Director MOH FON 030 000 71.000 12.000 481.800 1312500 Talal manufacturing confo71.000 units Print Done Clear All Check Answer 226 AM

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