Recher corporation uses part q89 in one of its products. the company's accounting department reports the following costs of producing the 8,100 units of the part that are needed every year.

per unit
direct materials $ 6.20
direct labor $ 3.40
variable overhead $ 6.70
supervisor's salary $ 2.50
depreciation of special equipment $ 2.10
allocated general overhead $ 1.10
an outside supplier has offered to make the part and sell it to the company for $23.00 each. if this offer is accepted, the supervisor's salary and all of the variable costs, including direct labor, can be avoided. the special equipment used to make the part was purchased many years ago and has no salvage value or other use. the allocated general overhead represents fixed costs of the entire company. if the outside supplier's offer were accepted, only $3,700 of these allocated general overhead costs would be avoided. in addition, the space used to produce part q89 could be used to make more of one of the company's other products, generating an additional segment margin of $16,500 per year for that product.

required:

a. prepare a report that shows the financial impact of buying part q89 from the supplier rather than continuing to make it inside the company.

With the slowdown of business, how can starbucks ensure that the importance of leadership development does not get overlooked?

The gilbert instrument corporation is considering replacing the wood steamer it currently uses to shape guitar sides. the steamer has 6 years of remaining life. if kept,the steamer will have depreciaiton expenses of $650 for five years and $325 for the sixthyear. its current book value is $3,575, and it can be sold on an internet auction site for$4,150 at this time. if the old steamer is not replaced, it can be sold for $800 at the endof its useful life. gilbert is considering purchasing the side steamer 3000, a higher-end steamer, whichcosts $12,000 and has an estimated useful life of 6 years with an estimated salvage value of$1,500. this steamer falls into the macrs 5-year class, so the applicable depreciationrates are 20.00%, 32.00%, 19.20%, 11.52%, 11.52%, and 5.76%. the new steamer is fasterand allows for an output expansion, so sales would rise by $2,000 per year; the newmachine's much greater efficiency would reduce operating expenses by $1,900 per year.to support the greater sales, the new machine would require that inventories increase by$2,900, but accounts payable would simultaneously increase by $700. gilbert's marginalfederal-plus-state tax rate is 40%, and its wacc is 15%.a. should it replace the old steamer? b. npv of replace = $2,083.51

Digitalhealth electronics inc. is a company that builds diagnostic devices. it was the first company to develop a compact mri scanner by reconfiguring the components of the mri technology. this smaller and user-friendly version of the huge mri scanner created demand from small hospitals, nursing homes, and private practice doctors who were earlier dependent on the scanning machines in large hospitals. which of the following types of innovations does this scenario best illustrate? a. disruptive innovation b. incremental innovation c. radical innovation d. architectural innovation