34. To best highlight sustainable costs and benefits sustainability costs should be: a. traced directly to cost objects b. allocated to their own cost pools c. treated as period costs d. a and c 37. Velvet Ltd expects to sell 34,000 units of finished goods over the next 6-month period. The company has 10,000 units on hand and its managers want to have 14,000 units on hand at the end of the period. To produce one unit of finished product, two units of direct materials are needed. Velvet has 100,000 units of direct material on hand and has budgeted for an ending inventory of 110,000 units. What is the amount of direct material to be purchased (in units)? a. 38,000 b. 86,000 c. 76,000 d. 66,000 38. A segment with an ROI of 45% has a profit of $90,000. The company's required rate of return on segment investments is 18%. The segment's residual income is: a. $16,200 b. $54,000 c. $36,000 d $40,500 39. Sweety Ltd employs a process costing system in which direct materials are added at the beginning of the process. Direct material costs from the prior period for beginning work in process are $6,000. The current period's direct material costs total $60,000. The company began the period with 500 units, 60% complete, started 10,500 units, and finished the period with 1,000 units, 50% complete. Using a FIFO system, the direct material cost per equivalent unit is: 1. $5.46 b. $5.71 c. $6.60 d. $6.00