Question: A1 A2 Help! Question 3 Blue, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and
|
A1
A2
|
Help!
Question 3 Blue, Inc. has recently started the manufacture of Tri-Robo, a three-wheeled robot that can scan a home for fires and gas leaks and then transmit this information to a smartphone. The cost structure to manufacture 19,100 Tri-Robos is as follows. Cost Direct materials ($51 per robot) Direct labor ($41 per robot) Variable overhead ($5 per robot) Allocated fixed overhead ($31 per robot) $974,100 783,100 95,500 600,000 $2,452,700 Total Blue is approached by Tienh Inc., which offers to make Tri-Robo for $117 per unit or $2,234,700 Following are independent assumptions
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts



