Hele Seve & E Checimy work 0 Required information The Foundational 15 (Algo) (L011-2, LO11-3, LO11-4, LO11-5, LO11-6] The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Bets that sell for $135 and 595, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 105.000 units of each product. Its average cost per unit for each product at this level of activity are given below. Det 9 18 16 Direct materials Direct labor Variable manufacturing overhead Traceable lixed manufacturing overhead Variable selling expenses common fixed expenses Total cost per unit Alpha $ 30 23 10 19 15 1 $ 115 21 11 $317 The company considers its traceable fixed manufacturing overed to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars Foundational 11-9 (Algo) Cher 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. 15 Foundational 11-9 (Algo) 9. Assume that Cane expects to produce and sell 83,000 Alphas during the current year. A supplier has offered to manufacture and deliver 83,000 Alphas to. Cane for a price of $92 per unit. What is the financial advantage (disadvantage of buying 83,000 units from the supplier instead of making those units? -25 5 Variable selling expenses Common fixed expenses Total cost per unit 15 18 11 13 087 $ 115 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. 14 Foundational 11-10 (Algo) 10. Assume that Cane expects to produce and sell 53.000 Alphas during the current year. A suppildr has offered to manufacture and dellver 53,000 Alphas to Cane for a price of $92 per unit. What is the financial advantage (disadvantage) of buying 53.000 units from the supplier instead of making those units? Variable selling expenses Common fixed expenses Total cost per unit 15 18 $ 115 11 13 $ 87 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its com are unavoidable and have been allocated to products based on sales dollars. 04:53:29 Book Foundational 11-11 (Algo) Print erences 11. How many pounds of raw material are needed to make one unit of each of the two products? Alpha Beta Pounds of raw materials per unit val LULU ULILY penses Common fixed expenses Total cost per unit 15 18 $ 115 1 13 $ 87 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 11-12 (Algo) 12. What contribution margin per pound of raw material is earned by each of the two products? (Round your answers to 2 decimal places.) Alpha Beta Contribution margin per pound H
