On december 1, mogro corporation had $26,000 of raw materials on hand. during the month, the corporation purchased an additional $60,000 of raw materials. during december, $62,000 of raw materials were requisitioned from the storeroom for use in production. the debits entered in the raw materials account during the month of december total:

An outside supplier has offered to sell talbot similar wheels for $1.25 per wheel. if the wheels are purchased from the outside supplier, $15,000 of annual fixed overhead could be avoided and the facilities now being used could be rented to another company for $45,000 per year. direct labor is a variable cost. if talbot chooses to buy the wheel from the outside supplier, then annual net operating income would: