1. General Motors is analyzing its production costs for a new electric vehicle model:
   • Requirements:
     • Calculate the Standard Cost per unit for the new electric vehicle:
       • Direct Materials: $25,000
       • Direct Labor: $10,000
       • Manufacturing Overhead: $5,000
   • Implement Activity-Based Costing to allocate battery research and development costs.
   • Compare the costs calculated under Standard Cost Accounting and ABC.
   • Discuss how each costing method influences pricing decisions and profitability for General Motors.

Standard Cost Calculation:

Category	Amount per Unit ($)
Direct Materials	$25,000
Direct Labor	$10,000
Manufacturing Overhead	$5,000
Total Standard Cost per Unit	$40,000