Question 2 of 4 2.25/15 View Policies Show Attempt History Current Attempt in Progress Sunland Industries had sales in 2021 of $7,888,000 and gross pront of $1.276,000. Management is considering two alternative budget plans to increase its gross proft in 2022. Plan A would increase the selling price per unit from $8.00 to $8.40. Sales volume would decrease by 145,000 units from its 2021 level. Plan B would decrease the selling price per unit by $0.50. The marketing department expects that the sales volume would increase by 150,800 units At the end of 2021, Sunland has 50,000 units of inventory on hand. If Plan A is accepted the 2022 ending inventory should be 46.000 units. It Plan B is accepted, the ending inventory should be equal to $4,000 units. Each unit produced will cost $1.50 in direct labor, $1.30 in direct materials, and $1.20 in variable overhead. The fixed overhead for 2022 should be $2,200,000 (a) - Your answer is partially correct. Prepare a sales budget for 2022 under each plan. (Round Unit selling price answers to 2 decimal places, eg. 5270) Question 2 of 4 2.25 / 15 ili (a) Your answer is partially correct Prepare a sales budget for 2022 under each plan (Round Unit selling price answers to 2 decimal places, eg, 5270) SUNLAND INDUSTRIES Sales Budget For the Year Ending December 31, 2022 Plan A Plan B Expected Unit Sales 887400 1086000 Unit Selling Price 8.4 $ 7.5 Total Sales $ 7454160 5 8145000 i ! 102 Prepare a production budget for 2022 under each plan SUNLAND INDUSTRIES Production Budget Plan A Plan B (c1) Compute the production cost per unit under each plan (Round answers to 2 decimal places, eg 1.25.) Plan A Plan B Production cost per unit $ $ e Textbook and Media Save for Later Attempts: 0 of 5 used Submit Answer (d) Compute the gross profit under each plan Plan A Plan B Gross Profit Which plan should be accepted? should be accepted