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Franklin Corporation is a manufacturing company that makes small electric motors it sells for $38 per unit. The variable costs of production are $20 per

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Franklin Corporation is a manufacturing company that makes small electric motors it sells for $38 per unit. The variable costs of production are $20 per motor, and annual fixed costs of production are $396,000 Required a. How many units of product must Franklin make and sell to break even? b. How many units of product must Franklin make and sell to eam a $72.000 profit? c. The marketing manager believes that sales would increase dramatically if the price were reduced to $32 per unit. How many units of product must Franklin make and sell to eam a $93.500 profit if the sales price is set at $32 per unit? Davis Driveways, Inc. (DDD) pours concrete driveways for single-family homes. DDI uses a cost-plus pricing approach. The company's accountant prepared the following report showing how DDI established the price per driveway at $350. Davis Driveways, Inc. Cost-Plus Pricing Policy $100 Materials Labor 120 Overhead 80 Total $300 Desired Profit 50 Price $350 Annusl overhead cost for rent on the corporate office and supervisor salaries is $80,000 Normal volumes 1.000 driveways per year. Overhead cost per unit is determined as $80,000 +1,000 units 580 per unit the relevant ranges from 100 to 1500 units A new builder in town, Rachel Rodgers, has acquired a large tract of land upon which she intends to build 200 single-family homes. Ms. Rodgers offer to purchase all 200 driveways from DDI. However, she is willing to pay only $250 per driveway. Required Asvume your group is a management team responsible for deciding whether to accept or reject Ms. Rodgers' offer Develop a response support your decision with appropriate computations, and choose a spokesperson to explain your

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