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Required: 1. Compute the per unit total manufacturing cost of Standard and Custom handbags by using the company's current overhead costing procedures with machine hours.(8pts)
Required: 1. Compute the per unit total manufacturing cost of Standard and Custom handbags by using the company's current overhead costing procedures with machine hours.(8pts) 2. Compute the per unit total manufacturing cost of Standard and Custom handbags by using activity-based costing (12pts) 3. Assume that the current selling price of a Standard handbag is $330.00 and the marketing manager is contemplating a $60 discount to stimulate volume. Is this discount advisable? Show calculations to support your answer.(2pts) 4.Which method should the company use and why? List at least 3 reasons why. (3pts)
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