Question: Please answer all the questions clearly. 1. Robinson Computers makes 5,700 units of a circuit board, CB76 at a cost of $230 each. Variable cost




Please answer all the questions clearly.
1. Robinson Computers makes 5,700 units of a circuit board, CB76 at a cost of $230 each. Variable cost per unit is $180 and fixed cost per unit is $50. Peach Electronics offers to supply 5,700 units of CB76 for $210. If Robinson buys from Peach it will be able to save $20 per unit in fixed costs but continue to incur the remaining $30 per unit. Should Robinson accept Peach's offer? Explain. 2. RT Manufacturing is deciding whether to keep or replace an old machine. It obtains the following information: (Click the icon to view the information.) RT Manufacturing uses straight-line depreciation. Ignore the time value of money and income taxes. Should RT Manufacturing replace the old machine? Explain. Old Machine New Machine $ 8,800 5 years O years Original cost $ 10,800 Useful life 9 years Current age 4 years Remaining useful life 5 years Accumulated depreciation $ 4,800 Book value 6,000 Current disposal value (in cash) $ 2,800 Terminal disposal value (5 years from now) $ 0 Annual cash operating costs $ 18,000 5 years Not acquired yet Not acquired yet Not acquired yet $ 0 $ 15,000 1. Robinson Computers makes 5,700 units of a circuit board, CB76 at a cost of $230 each. Variable cost per unit is $180 and fixed cost per unit is $50. Peach Electronics offers to supply 5,700 units of CB76 for $210. If Robinson buys from Peach it will be able to save $20 per unit in fixed costs but continue to incur the remaining $30 per unit. Should Robinson accept Peach's offer? Explain. Begin by calculating the relevant cost per unit. (If a box is not used in the table, leave the box empty; do not enter a zero.) Make Buy Relevant costs: Unit relevant cost Avoidable fixed costs per unit Purchase price per unit circuit boara, Brb at a cost OT D230 each. variable buys from Peach it will be able to save $20 per ur Total fixed costs per unit Unavoidable fixed costs per unit fa box is not used in the table, leave the box empt ke Buy Variable costs per unit Unit relevant cost Avoidable fixed costs per unit Purchase price per unit circuit board, CB76 at a cost of $230 each. Varial buys from Peach it will be able to save $20 per Total fixed costs per unit fa box is not used in the table, leave the box em Unavoidable fixed costs per unit ke Buy Variable costs per unit
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