6 neyuVU HUITTOVUTI The Foundational 15 (Algo) (LO11-2, LO11-3, LO11-4, LO11-5, LO11-6) The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $215 and $160, respectively. Each product uses only one type of raw material that costs $7 per pound. The company has the capacity to annually produce 125,000 units of each product. Its average cost per unit for each product at this level of activity are given below 16 of 15 is Alpha $42 0246.00 Direct materials Direct labor Variable manufacturing overhead Traceable fixed manufacturing overhead Variable selling expenses Connon fixed expenses Total cost per unit 35 23 31 28 31 $ 100 Beta $ 21 28 21 34 24 26 $ 154 Book Print Terences The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars Foundational 11-6 (Algo) 6. Assume that Cane normally produces and sells 106,000 Betas per year. What is the financial advantage (disadvantage of discontinuing the Beta product line? 7 Part 7015 Required information The Foundational 15 (Algo) (L011-2, LO11-3, LO11-4, LO11-5, LO11-6] [The following Information applies to the questions displayed below! Cane Company manufactures two products called Alpha and Beta that sell for $215 and $160, respectively. Each product uses only one type of raw material that costs $7 per pound. The company has the capacity to annually produce 125,000 units of each product. Its average cost per unit for each product at this level of activity are given below Alpha Beta Direct materials Direct labor 5.42 3.21 35 20 Variable manufacturing overhead 23 21 Teaceable fixed manufacturing overhead 31 14 Variable selling expenses 28 24 Common fixed expenses 26 Total cost per unit $190 $ 154 bits 02:45:32 Pool 31 Print The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars Foundational 11-7 (Algo) 7. Assume that Cane normally produces and sells 56,000 Betas per year. What is the financial advantage (disadvantage of discontinulog the Beta product line? 8 Bf 15 Required information The Foundational 15 (Algo) (L011-2, LO11-3, LO11-4, LO11-5, LO11-6] The following information apples to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $215 and 5160, respectively. Each product uses only one type of raw material that costs $7 per pound. The company has the capacity to annually produce 125.000 units of each product. Its average cost per unit for each product at this level of activity are given below. 02:45:00 Direct materials Direct lobor Variable manufacturing overhead Traceable Fixed manufacturing overhead Variable selling expenses Connon fixed expenses Total cost per unit 000 Alpha Beta $ 475.21 35 28 23 21 31 210 24 31 26 $190 $ 154 Print crences The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. Foundational 11-8 (Algo) 8 Assume that Cane normally produces and sells 76.000 Betas and 96,000 Alphas per year. If Cane discontinues the Beta product line, its sales representatives could increase sales of Alpha by 16.000 units. What is the financial advantage (disadvantage of discontinuing the Beta product line? 9 at 9 of 15 Required information The Foundational 15 (Algo) (LO11-2, LO11-3, LO11-4. LO11-5, LO11-6) The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $215 and 5160, respectively. Each product uses only one type of raw material that costs $7 per pound. The company has the capacity to annually produce 125,000 units of each product. Its average cost per unit for each product at this level of activity are given below. Alpha Beta Direct material 5.43 $ 21 15 28 Variable manufacturing overhead Traceable fixed manufacturing overhead 34 Variable selling expenses Como se expenses Yotal cost per unit 1190 514 int 3 024.38 Direct labor 21 ce 31 20 31 24 26 octriences The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. Foundational 11-9 (Algo) 9. Assume that Cane expects to produce and sell 96,000 Alphas during the current year. A supplier has offered to manufacture and deliver 96.000 Alphas to Cane for a price of $144 per unit. What is the financial advantage (disadvantage) or buying 96.000 units from the supplier instead of making those units? Seved 10 Required information The Foundational 15 (Algo) (L011-2. LO11-3, LO11-4, LO11-5, LO11-6) (The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $215 and $160, respectively. Each product uses only one type of raw material that costs $7 per pound. The company has the capacity to annually produce 125,000 units of each product . Its average cost per unit for each product at this level of activity are given below. rt 10 15 nits Alpha Beta $ 21 02.4256 25 Direct materials Direct labor Variable manufacturing overhead Traceable fixed manufacturing overhead Variable selling expenses Common fixed expenses Total cost per unit 542 35 23 31 20 21 cool 24 26 $ 154 $ 150 eferences The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. Foundational 11-10 (Algo) 10. Assume that Cane expects to produce and sell 71000 Alphas during the current year. A supplier has offered to manufacture and deliver 71000 Alphas to Cane for a price of $144 per unit. What is the financial advantage (disadvantage of buying 71000 units from the supplier instead of making those units