Crystal Day Inc. recenty teper production of a new product, het panel deces, which required the invest of 1,300,000 The cost of producing and g .000s of panel p r ostated as low $119.00 Died biber Factory Overhead Seandaire expenses 15.00 Factory overhead 5248.000.00 * Selling and dis p ers 150.000.00 Crystal D ays Inc. is currently considering establing a seling price for at panel pays. The president of Crystal Displays has decided to use the cost plus 17 return on invested assets proach to product pricing and has indicated that the displays museama Required 1. Define the amount wred profit from the production and sale of Rar panel displays 2. Assuming that the products method is used determine the cost amount par un e markup percentages and the ar panelsplays 2 pendix) Assuming the cost method is used in the cost amount per into the markup percentage and price of a panel displays price of the selling Required: 1. Determine the amount of desired profit from the production and sale of flat panel displays 2. Assuming that the product cost method is used determine (a) the cost amount per unit, (b) the markup percentage, and (c) the selling price of flat panel displays. 3. (Appendix) Assuming that the total cost method is used, determine (a) the cost amount per unit, (b) the markup percentage and (c) the selling price of Rat panel displays." 4. (Appendix) Assuming that the variable cost method is used, determine (a) the cost amount per unit, (b) the markup percentage, and (c) the Selling price of fat panel displays. 5. Comment on any additional considerations that could influence establishing the selling price for flat panel displays. 6. Assume that as of August 1, 3,000 units of flat panel displays have been produced and sold during the current year. Analysis of the domestic market indicates that 2,000 additional units are expected to be sold during the remainder of the year at the normal product price determined under the product cost method. On August 3, Crystal Displays Inc. received an offer from Maple Leaf Visual Inc. for 1,000 units of flat panel displays af $223 each. Maple Leaf Visual Inc. wil market the units in Canada under its own brand name, and no variable selling and administrative expenses associated with the sale will be incurred by Crystal Displays Inc. The additional business is not expected to affect the domestic sales of Nar panel displays, and the additional units could be produced using existing factory, selling, and administrative capacity. a. Prepare a differential analysis of the proposed sale to Maple Leaf Visual Inc. Refer to the Nsts of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, entero. A colon () will automatically appear if required. b. Based on the differedial analysis in part (a), should the proposal be accepted? "Round your markup percentage and selling price to two decimal places. Labels Cash flows from operating activities Costs Amount Descriptions Cash payments for merchandise Cash received from customers Fixed manufacturing costs Income (loss) Revenues Variable manufacturing costs Coupont Ma percentage Selling price and the und your marke tempper power par for the cost amount per un cost nda Acuming that the od is used A places Cost amount per unit Markup percentage Selling price r e Hound your apprend decima and the cost amount per unit the martup percent reling price of ar panely used 4. Appendix) Assuming at the rate con method for Cost amount per unit Markup percentage Selling price a m anas pr o Manie La Vie heefer to the Label and Amount Doorphone or two subtracted or negative numbers use a mission. I there is no amount or an amount er, enter V. Acolon on ly w ord of the othe r Question not attempted. Score: 0/5 Diterential Analysis Reject (Alternative 1) or Accept (Alternative 2) Order Aut 3 Reject Order Accept Order Differential Effect on Income (Alternative 1) (Alternative 2) Alternative (Label Crystal Day Inc. recenty teper production of a new product, het panel deces, which required the invest of 1,300,000 The cost of producing and g .000s of panel p r ostated as low $119.00 Died biber Factory Overhead Seandaire expenses 15.00 Factory overhead 5248.000.00 * Selling and dis p ers 150.000.00 Crystal D ays Inc. is currently considering establing a seling price for at panel pays. The president of Crystal Displays has decided to use the cost plus 17 return on invested assets proach to product pricing and has indicated that the displays museama Required 1. Define the amount wred profit from the production and sale of Rar panel displays 2. Assuming that the products method is used determine the cost amount par un e markup percentages and the ar panelsplays 2 pendix) Assuming the cost method is used in the cost amount per into the markup percentage and price of a panel displays price of the selling Required: 1. Determine the amount of desired profit from the production and sale of flat panel displays 2. Assuming that the product cost method is used determine (a) the cost amount per unit, (b) the markup percentage, and (c) the selling price of flat panel displays. 3. (Appendix) Assuming that the total cost method is used, determine (a) the cost amount per unit, (b) the markup percentage and (c) the selling price of Rat panel displays." 4. (Appendix) Assuming that the variable cost method is used, determine (a) the cost amount per unit, (b) the markup percentage, and (c) the Selling price of fat panel displays. 5. Comment on any additional considerations that could influence establishing the selling price for flat panel displays. 6. Assume that as of August 1, 3,000 units of flat panel displays have been produced and sold during the current year. Analysis of the domestic market indicates that 2,000 additional units are expected to be sold during the remainder of the year at the normal product price determined under the product cost method. On August 3, Crystal Displays Inc. received an offer from Maple Leaf Visual Inc. for 1,000 units of flat panel displays af $223 each. Maple Leaf Visual Inc. wil market the units in Canada under its own brand name, and no variable selling and administrative expenses associated with the sale will be incurred by Crystal Displays Inc. The additional business is not expected to affect the domestic sales of Nar panel displays, and the additional units could be produced using existing factory, selling, and administrative capacity. a. Prepare a differential analysis of the proposed sale to Maple Leaf Visual Inc. Refer to the Nsts of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, entero. A colon () will automatically appear if required. b. Based on the differedial analysis in part (a), should the proposal be accepted? "Round your markup percentage and selling price to two decimal places. Labels Cash flows from operating activities Costs Amount Descriptions Cash payments for merchandise Cash received from customers Fixed manufacturing costs Income (loss) Revenues Variable manufacturing costs Coupont Ma percentage Selling price and the und your marke tempper power par for the cost amount per un cost nda Acuming that the od is used A places Cost amount per unit Markup percentage Selling price r e Hound your apprend decima and the cost amount per unit the martup percent reling price of ar panely used 4. Appendix) Assuming at the rate con method for Cost amount per unit Markup percentage Selling price a m anas pr o Manie La Vie heefer to the Label and Amount Doorphone or two subtracted or negative numbers use a mission. I there is no amount or an amount er, enter V. Acolon on ly w ord of the othe r Question not attempted. Score: 0/5 Diterential Analysis Reject (Alternative 1) or Accept (Alternative 2) Order Aut 3 Reject Order Accept Order Differential Effect on Income (Alternative 1) (Alternative 2) Alternative (Label