Assume the following (1) selling price per unit = $25. (2) variable expense per unit - $13,3) the total fixed expenses - $20,000, and (4) net operating income - $14,200. Given these four assumptions, unit sales must be: Multiple Choice 2,850 units. 2,342 units. LO 1.200 units 3,420 units. Assume a company is considering buying 10,000 units of a component part rather than making them. A supplier has agreed to sell the company 10,000 units for a price of $40 per unit. The company's accounting system reports the following costs of making the part: 10,000 Units Per Unit per Year Direct materials $18 $180,000 Direct labor 12 120,000 Variable manufacturing overhead 2 20,000 Fixed manufacturing overhead, traceable B 80,000 Fixed manufacturing overhead, allocated 4 40,000 Total cost $44 $440,000 One-half of the traceable fixed manufacturing overhead relates to supervisory salaries and the remainder relates to depreciation of equipment with no salvage value. If the company chooses to buy this component part from a supplier, then the supervisor who oversees its production would be discharged. If the company begins buying the part from a supplier, it can use freed up capacity to produce and sell 2,300 more units of another product that earns a contribution margin per unit of $7.25. What is the financial advantage (disadvantage) of buying 10,000 units from the supplier? Multiple Choice $132.300) O $123.325) Assume a company's direct labor budget for October estimates 10,000 labor-hours to meet the month's production requirements. The variable manufacturing overhead rate used for budgeting purposes is $3.00 per direct labor-hour. The budgeted fixed manufacturing overhead for October is $60,000 including $8,000 of depreciation. What is the total budgeted manufacturing overhead for October? Multiple Choice $88,000 $82,000 $90,000 $98.000 MP VSA Assume that a company provided the following cost formulas for three of its expenses (where a refers to the number of hours worked): Rent (fixed) Supplies (variable) Utilities (mixed) $3,000 $4.000 $150 + $0.750 The company's planned level of activity was 2,130 hours and its actual level of activity was 1,850 hours. How much supplies expense would be included in the planning budget? Multiple Choice $8.220 $7920 $8,520 $8.420