Question 5 (Continue) Required: (a) Determine the fixed cost per unit (gallon) for the original situation that it produced an oil based chemical product which it sells to paint manufactures. Show workings. (3 marks) (b) Determine the net income per gallon for selling chemical. Reconcile the net income per gallon with the difference between selling price and total cost per gallon. Show workings. (4 marks) (c) Determine the incremental per gallon increase in net income and the total increase in net income if the company manufactures the paint (under the same 2020 production volume). (8 marks) (d) What is the accounting implication if there is high differentiation between the paint products produced by WX Company and that produced by other competitors? Explain and provide supporting calculations. (5 marks) (e) What is the accounting implication if the invested asset amount has been overstated? Explain. (3 marks) (f) What is the accounting implication if the company has considered the variable cost only instead of full cost when pricing its chemical product? Explain. (2 marks) Question 5 (Continue) Required: (a) Determine the fixed cost per unit (gallon) for the original situation that it produced an oil based chemical product which it sells to paint manufactures. Show workings. (3 marks) (b) Determine the net income per gallon for selling chemical. Reconcile the net income per gallon with the difference between selling price and total cost per gallon. Show workings. (4 marks) (c) Determine the incremental per gallon increase in net income and the total increase in net income if the company manufactures the paint (under the same 2020 production volume). (8 marks) (d) What is the accounting implication if there is high differentiation between the paint products produced by WX Company and that produced by other competitors? Explain and provide supporting calculations. (5 marks) (e) What is the accounting implication if the invested asset amount has been overstated? Explain. (3 marks) (f) What is the accounting implication if the company has considered the variable cost only instead of full cost when pricing its chemical product? Explain. (2 marks)