Question 11 A company reported the following information for the production and sale of 600 090 gallon of oil Sales $2 100,000 Production costs Direct materials $500.090 Direct labor 309090 Applied overhead ( using ABC ) Overhead based on number of gallons 390 090 Overhead based on number of batches 150.090 Overhead based on number of machine hours 270 090 Total Production costs 2 110 090 Gross profit ($ 10 00 0 ) Overhead was applied based on the following predetermined overhead rates 50 . 65 per gallon $400 per batch 590 per machine hours What would be the gross profit if the company increased the selling price per gallon by 80 15