PLEASE ANSWER QUICKLY

Instruction: There are two questions in this part. Answer the questions with a single MS Office Word/Excel file and upload it here. Alternatively, you may answer the questions manually and scan or take a picture of your work and upload it here. Question 1. Hawk Skateboard Mfg. Inc. ("Hawk") manufactures skateboards. Its cost per unit to make 3,500 decks (a part of the skateboard) is as follows: Direct materials Direct labour $9.20 1.77 1.30 Variable manufacturing overhead 3.80 Fixed manufacturing overhead Total manufacturing costs $16.07 Suppose Reynolds Inc. ("Reynolds") offers to sell decks to Hawk for $15 each. Hawk will pay $1.50 per unit to transport the decks to its manufacturing plant, where it will add its own logo at a cost of $0.80 per deck. Hawk's accountants predict that purchasing the decks from Reynolds will enable the company to avoid $5,500 of fixed overhead. Required: Determine if Hawk should buy the decks or continue to make them. Support your answer with a differential analysis of the costs of each option