25 Rosie's Company has three products, P1, P2, and P3. The maximum Rosie's can sellis 74,000 units of P1, 51,000 units of P2, and 39,000 units of P3. Rosie's has limited production capacity of 36,000 hours. It can produce 12 units of P1, 6 units of P2, and 3 units of P3 per hour. Contribution margin per unit is $5 for the P1, $15 for the P2, and $25 for the P3. What is the most profitable sales mix for Rosie's Company? 8. Multiple Choice 174.000 P1, 51,000 P2, 39,000 P3 35,100 P1, 51,000 P2, 174,000 P3. 174,000 PL 47.000 P2, 174,000 P3 35,700 PI, 47000 P2, 39,000 P3 Factor Co. can produce a unit of product for the following costs: 24 Direct material Direct labor Overhead Total product cost per unit $ 7.60 23.60 38.00 $69.20 01 20:54 An outside supplier offers to provide Factor with all the units it needs at $42.50 per unit. If Factor buys from the supplier, the company will still incur 65% of its overhead, Factor should choose to: Multiple Choice Buy since the relevant cost to make it is $55.90 Make since the relevant cost to make it is $44.50 23 Carns Company is considering eliminating its small tools division, which reported an operating loss for the recent year of $92.000. Division sales for the year were $1,380,000 and its variable costs were $1.245,000. The fixed costs of the division were $290,000. If the kitchen division is dropped, 40% of the fixed costs allocated it could be eliminated. The impact on Carns's operating income from eliminating the small tools division would be: 01:20:41 Multiple Choice 540,900 decrease $116,000 Increase $19,000 increase $19.000 decrease 22 Pinkin Inc. needs to determine a price for a new phone model. Pinkin desires a 25% markup on the total cost of the phone. Pinkin expects to sell 51.000 phones. Additional information is as follows: 01 20:30 Variable product cost per unit Variable administrative cost per unit Total fixed overhead Total fixed administrative $ 84 65 111,000 93,000 Using the total cost method what price should Pinkin charge? Multiple Choice $179.08 $191.25