Compute the Gross Profit Under Each Plan (the last photo)

Crane Industries had sales in 2021 of $6,872,000 and gros profit of $1,111,000. Management is considering two alternative budget plans to increase its gross profit in 2022. Plan A would increase the unit selling price from $8 to $8.4. Sales volume would decrease by 126,000 units from its 2021 level. Plan B would decrease the unit selling price by $0.5. The marketing department expects that the sales volume would increase by 131,000 units. At the end of 2021. Crane has 40,000 units of inventory on hand If Plan A is accepted, the 2022 ending inventory should be 35,000 units. If Plan B is accepted, the ending inventory should be equal to 61.000 units. Each unit produced will cost $1.50 in direct labor. $1.30 in direct materials, and $1.20 in variable overhead. The fixed overhead for 2022 should be $1,892,800. CRANE INDUSIRIES Production Budget For the Year Ending December 31, 2022 Compute the production cost per unit under each plan. (Round onswers to 2 decimal ploces, es. 1.25) Your answer is partialiy correct. Compute the gross profit under each plan. (Round answers to 0 decimal ploces, es 125.) Which plan should be accepted