Question 3 2.5 pts Catan Company produces a part that is used in the manufacture of one of its products. The unit manufacturing costs of this part, assuming a production level of 6,200 units, are as follows: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Total cost The fixed overhead costs are unavoidable. $4.20 $4.30 $3.00 $1.20 $12.70 Assume Catan Company can purchase 6,200 units of the part from X-Wing Company for $14.00 each, and the facilities currently used to make the part could be used to manufacture 6,200 units of another product that would have an $8 per unit contribution margin. If no additional fixed costs would be incurred, what should Catan Company do? O Make the new product and buy the part to earn an extra $5.50 per unit contribution to profit. Continue to make the part to earn an extra $1.80 per unit contribution to profit. Make the new product and buy the part to earn an extra $6.00 per unit contribution to profit. O Continue to make the part to earn an extra $4.70 per unit contribution to profit. Question 4 2.5 pts Maintenance costs at Oceanside Hotel over the past six months are listed in the following table. Maintenance Machine Month cost hours January $13,600 15,500 February $14,720 16,900 March $12,000 14,000 April $14,480 16,600 May $15,000 18,000 June $13,200 15,000 Using the high-low method, what would the total maintenance costs be if 17,900 machine hours were used? (Round any intermediary calculations to the nearest cent.) O $31,425 $1,575 O $13,425 O $14.925 Question 5 2.5 pts The Augusta Corporation uses a process system. During the current period, 3,000 units were started and 2,100 units were completed and transferred out. Ending units were 60% complete for materials and 25% complete for conversion costs. Direct materials costs added were $32,300 and conversion costs added were $35,200. There was no beginning WIP Inventory and conversion costs are added evenly throughout the process. At the end of the period, what are the total equivalent units for conversion costs? 0 2,325 O 2,100 O 900 O 2,640 Question 6 2.5 pts