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im lost on how to calculate what rhe profit must increase by on req C

Jordan Bike Company makes the frames used to build its bicycles. During Year 2, Jordan made 25,000 frames; the costs incurred follow. Jordan has an opportunity to purchase frames for $116 each. Additional Information 1. The manufacturing equipment, which originally cost $590,000, has a book value of $470,000, a remaining useful life of four years, and a zefo salvage value. if the equipment is not used to produce bicycle frames, it can be loased for $79,000 per year. 2. Jordan has the opportunity to purchase for $920,000 new manufacturing equipment that will have an expected useful life of four years and a salvage value of $50,000. This equipment wilt increase productivity substantialy, reducing unit-level labor costs by 50 percent. Assume that Jordan will continue to produce and sell 25,000 frames per year in the future. 3. If Jordan outsources the frames, the company can eliminate 80 percent of the inventory holding costs. Required a. Determine the avoidable cost per unit of making the bike frames, assuming that Jordan is considering the alternatives of making the product using the existing equipment or outsourcing the product to the independient contractor. Based on the quantitative data, should Jordan outsource the bike frames? b. Assuming that Jordan is considering whether to replace the old equipment with the new equipment determine the avoidable cost pot unit to produce the bike frames using the new equipment and the avoidable cost per unit to produce the bike frames using the old equipment. Calculate the increase or decrease in the companys proft if the company uses new equipment. c. Assuming thet Jordan is considering whether to purchase the new equipment or outsource the bike frame, calculate the impact on profitability between the two alternatives. per unit to produce the bike frames using the new equipment and the avoidable cost per unit to produce the bike frames using old equipment. Calculate the increase or decrease in the company's profit if the company uses new equipment. c. Assuming that Jordan is considering whether to purchase the new equipment or outsource the bike frame, calculate the impact 0 profitability between the two alternatives. Answer is not complete. Complete this question by entering your answers in the tabs below. Assuming that Jordan is considering whether to replace the old equipment with the new equipment, determine the avoidable cost per unit to produce the bike frames using the new equipment and the avoidable cost per unit to produce the bike frames using the old equipment. Calculate the increase or decrease in the company's profit if the company uses new equipment. Note: Round "Avoldable cost per unit" to 2 decimal places. old equipment. Calculate the increase or decrease in the company's profit if the company uses new e c. Assuming that Jordan is considering whether to purchase the new equipment or outsource the bike fi profitability between the two alternatives. Answer is not complete. Complete this question by entering your answers in the tabs below. Assuming that Jordan is considering whether to purchase the new equipment or outsource the bike frame, ca impact on profitability between the two alternatives. Note: Do not round intermediate calculations. old equipment. Calculate the increase or decrease in the company's profit if the company uses new equipme c. Assuming that Jordan is considering whether to purchase the new equipment or outsource the bike frame, ca profitability between the two alternatives. Complete this question by entering your answers in the tabs below. Determine the avoidable cost per unit of making the bike frames, assuming that Jordan is considering the alternative making the product using the existing equipment or outsourcing the product to the independent contractor. Based on quantitative data, should Jordan outsource the bike frames? Note: Round your answer to 2 decimal places

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