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Plainfield Company manufactures. Part G for use in its production cycle. The costs per unit tor 10,000 units of Part G are as follows: Direct

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Plainfield Company manufactures. Part G for use in its production cycle. The costs per unit tor 10,000 units of Part G are as follows: Direct materials $ 3 Direct labor 15 Variable overhead 6 Fixed overhead 8 Verona Company has offered to sell Plainfield 10,000 units of Part G for $30 per unit. If Plain field accepts Verona?s officer, the released facilities could be used to save $45,000 in relevant costs in the manufacture of Part H. In addition, $50,000 of the fixed overhead applied to Part G would be totally eliminated. What alternative is more desirable and by what amount is it more desirable

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