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Adams Cameras, Inc, manufactures two models of cameras. Model ZM has a zoom lens, Model DS has a fixed lens, Adams uses an activity-based costing

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Adams Cameras, Inc, manufactures two models of cameras. Model ZM has a zoom lens, Model DS has a fixed lens, Adams uses an activity-based costing system. The following are the relevant cost data for the previous month Direct cont per Unit Direct materials Direct labor Model $20.00 28.00 Nodel s $10.00 12.00 Category Unt level Hatch level Product level Facility level Total Estimated Cout $ 27,000 50,000 90,000 300.000 $467.000 Cost Driver Number of units Number of setups Number of TV commercials Number of machine heure Use of Coat Driver x 2.400 nits : 9,600 IX25 setups: Ds: 25 setiap EX 15, DSE 10 ER: 500 hours 0 1.000 hours Adams's facility has the capacity to operate 4.500 machine hours per month Required a. Compute the cost per unit for each product b. The current market price for products comparable to Model ZM is $135 and for DS is $88. If Adams sold all of its products at the market prices, what was its profit or loss for the previous month? c. A market expert believes that Adams can sell as many cameras as it can produce by pricing Model ZM at $130 and Model DS at $45. Adams would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. What is the target cost for each product? Required A Required B Required The current market price for products comparable to Model ZM is $135 and for DS is $88. If Adams sold all of its products at the market prices, what was its profit or loss for the previous month? (Round intermediate calculations to Z decimal places. Loss amounts should be indicated by a minus sign.) Amount Model ZM Model DS Compute the cost per unit for each product. {Round intermediate calculations and final answers to 2 decimal places.) Direct Materials Direct Labor Allocated Overhead Total Type of Product Model ZM Model DS Required A Required B Requited A market expert believes that Adams can sell as many cameras as it can produce by pricing Model ZM at $130 and Model DS at $45. Adams would like to use those estimates as its target prices and have a profit margin of 30 percent of target prices. What is the target cost for each product? (Round your answers to 2 decimal places) Model ZM Model DS Target cost / unit

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