Canvas Question 22 3 pts The Reno Company manufactures Part No. 498 for use in its production line. Manufacturing cost per unit for 20,000 units of Part No. 498 is as follows Direct materials $6 30 Direct labor Variable overhead 12 16 Fixed overhead allocated Total manufacturing cost per unit $64 The Tray Company has offered to sell 20,000 units of Part No. 498 to Reno for $60 per unit. Reno will make the decision to buy the part from Tray if there is an overall savings of at least $25,000 for Reno. It Reno accepts Tray's offer, $9 per unit of the fixed overhead allocated would be eliminated. Furthermore, Reno has determined that the released facilities could be used to save relevant costs in the manufacture of Part No. 575. For Reno to achieve an overall savings of $25,000, the amount of relevant costs that would have to be saved by using the released facilities in the manufacture of part No. 575 would be $ 125,000 $ 85,000 265,000 25,000 Cannot be determined Canvas Question 23 3 pts Budgeted sales for the first quarter for Hupp Company, a manufacturer, are as follows: Budgeted sales...(Units January 75,000 February 100,000 March 120,000 The company always maintains an inventory of Finished Goods equal to 15 percent of next month's budgeted sales. Budgeted production in units for February would be 102,000 100,000 112.000 103,000 97.000 Question 24 Donna produces machine that requires three pistons. They feel that they must produce 200,000 machines next year. They want to hold in their ending naterials inventory, enough pistons to meet 10% of next year's production requirement They 3 pts