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Answer the following questions using the information below Following a strategy of product differentiation, Arseniq Company makes a high - end Appliance, XT15. Arseniq presents
Answer the following questions using the information below Following a strategy of product differentiation, Arseniq Company makes a high - end Appliance, XT15. Arseniq presents the following data for the years 2014 and 2015 Units of XT15 produced and sold Selling price Direct materials (square feet Direct materials costs per square foot Manufacturing capacity in units of XT15 Total conversion costs Conversion costs per unit of capacity 2014 50,000 $500 150,000 $50 62,500 $6,250,000 $100 2015 52,500 $550 153,750 $55 62,500 $6,875,000 $110 YA. $206,250 F B. $875,000 U OC $875,000 F OD. $206,250 U
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