(25 points) Susan Delaney analyzes product profitability of one of her clients using the following data (same data as in the previous questions):

2013 2014 2015

Overhead costs 110,000 120,000 100,000

Direct labor 25,000 30,000 20,000

She still tries to understand profitability of Products 4 and 5. Their sales prices and costs per unit remained unchanged during these years at:

Product 4Product 5Sales price (per unit)80130Direct material cost1020Direct labor cost1020

Assume fixed non-avoidable overhead is 60,000 in all years and the remaining overhead is variable (perfectly proportional to direct labor). Is it true that Product 4 is more profitable than Product 5 in 2015?

Group of answer choices

True

False

Not enough information to answer.