Ch. 12 F15 Saved 7 Required information The Foundational 15 [LO12-2, Lo12-3, LO12-4, LO12-5, LO12-6] The following information applies to the questions displayed below Part 7 of 15 Cane Company manufactures two products called Alpha and Beta that sell for $165 and $130, respectively. Each product uses only one type of raw material that costs $8 per pound. The company has the capacity to annually produce 113,000 units of each product. Its average cost per unit for each product at this level of activity are given below 0.33 points AlphaBeta $ 24 25 14 27 17 24 19 $126 Direct materials Direct labor Variable manufacturing overhead Traceable fixed manufacturing overhead Variable selling expenses Common fixed expenses Total cost per unit %40 29 15 25 21 eBook Print $154 References The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. Foundational 12-7 7. Assume that Cane normally produces and sells 49,000 Betas per year. What is the financial advantage (disadvantage) of discontinuing the Beta product line