Microsoft produces two types of software packages, Office Home and Office Professional. The following cost data is provided:

Cost Item	Office Home	Office Professional
Direct Material	$50/unit	$80/unit
Direct Labor	$20/unit	$30/unit
Overhead	150% of direct labor cost	140% of direct labor cost

Additional Information:

• Production for Office Home: 100,000 units
• Production for Office Professional: 80,000 units

Requirements:

1. Calculate the total cost for Office Home and Office Professional.
2. Determine the cost per unit for each software package.
3. Prepare a cost sheet for both software packages.
4. Compare the cost structures and suggest which package is more cost-effective.
5. Recommend pricing strategies based on cost analysis and market trends.