7. Assume that Cane normally produces and sells 46,000 Betas per year. If Cane discontinues the Beta product line, how much will profits increase or decrease? 6. Assume that Cane normally produces and sells 96,000 Betas per year. If Cane discontinues the Beta product line. how much will profits increase or decrease? 8. Assume that Cane normally produces and sells 66,000 Betas and 86,000 Alphas per year. If Cane discontinues the Beta product line, its sales representatives could increase sales of Alpha by 12.000 units. If Cane discontinues the Beta product line, how much would profits increase or decrease? 5. Assume that Cane expects to produce and sell 101,000 Alphas during the current year. One of Cane's sales representatives has found a new customer that is willing to buy 16,000 additional Alphas for a price of $104 per unit. If Cane accepts the customer's offer, it will decrease Alpha sales to regular customers by 9.000 units. a. Calculate the incremental net operating income if the order is accepted? (Loss omount should be indicated with a minus sign.) b. Based on your calculations above should the special order be accepted? Yes No Cane Company manufactures two products called Alpha and Beta that sell for $150 and $110, respectively. Each product uses only one type of raw material that costs $5 per pound. The company has the capacity to annually produce 108,000 units of each product. Its unit costs for each product at this level of activity are given below: The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are deemed unavoidable and have been allocated to products based on sales dollars. equired: What is the total amount of traceable fixed manufacturing overhead for the Alpha product line and for the Beta product line? 2. What is the company's total amount of common fixed expenses? 9. Assume that Cane expects to produce and sell 86,000 Alphas during the current year. A supplier has offered to manufacture and dellver 86,000 Alphas to Cane for a price of $104 per unit. If Cane buys 86,000 units from the supplier instead of making those units. how much will profits increase or decrease? 4. Assume that Cane expects to produce and sell 96,000 Betas during the current year. One of Cane's sales representatives has found a new customer that is willing to buy 2,000 additional Betas for a price of $45 per unit. If Cane accepts the custorrier's offer, how much will its profits increase or decrease? 10. Assume that Cane expects to produce and sell 56.000 Alphas during the current year. A supplier has offered to manufacture and deliver 56,000 Alphas to Cane for a price of $104 per unit. If Cane birys 56,000 units from the supplier instead of making those units. how much will profits increase or decrease? 3. Assume that Cane expects to produce and sell 86,000 Alphas during the current year. One of Cane's sales representatives has found a new customer that is willing to buy 16,000 additional Alphas for a price of $104 per unit if Cane accepts the customer's offer, how much will its profits increase or decrease