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vanable costs The new method will require S40200 LaCrosse Prodocts has a budget of $908,000...

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vanable costs The new method will require S40200 LaCrosse Prodocts has a budget of $908,000 in 2017 for prevention costs fit decides to automate a portion of its prevention activities, it will save $80,800 in training costs and $104,000 in annual equipment costs. Management is willing to adjust the budget for an amount up to the cost of the new equipment. The budgeted production level is 154,000 units Appraisal costs for the year are budgeted at s604,000. The new prevention procedures will save appraisal costs of $50,500 Intemal failure costs average $14 per failed unit of finished goods. The internal failure ra expected to be 3% of all co pleted de s The posed changes wil cut the nte al fah erate by one third internal fatu e un ts are destroyed Exter al a ure costs average SSS per failed unt The company average external talunes a erage 3% of unts sold The new proposal wil reduce this rate by 55%. Assume a ' units produced are sold and there are no ending men ores. How much well internal falure costs change if the intermal product failures are reduced by 1/3 with the new procedures? (Do not round intermediate cakculations) A. $758,000 decrease O B. $500,000 decrease O C. $26.554 decrease D. $21,560 decrease Cick to select your

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