Score: out of Question #3 Lilly's Sign Company 20 Total overhead Profit goal (markup over total costs) 7,500,000 22% Beta Gamma Sigma Direct materials per unit Direct labor per unit Volume (units) Direct materials-total costs Direct labor-total costs $20.00 25.00 35.00 $ 2000 $ 10.00$ 25.00 $ 8,000,000 7,500,000 7,000,00 $ 8,000,000 3,000,000 5,000,000 400,000 00,000 200,000 Lilly's Sign Company produces and sells three (3) unique products -Beta, Gamma and Sigma. Management at Lilly's Sign Company decided to set the selling prices of these products at 22% above total per unit product costs, deeming that to be a fair and reasonable profit. Projected costs and planned volumes are provided at left. Overhead costs are expected to be $7,500,000. Lilly's President wanted to know each product's total costs in order to set the selling prices, so she needed some way of allocating overhead among the three products. Her Controller said that since volume (units produced) seemed to be related to the usage of productive capacity, it seemed fair to charge each product for its share of overhead according to the number of units produced of each product. The selling prices would then be based on each product's total cost, plus a 22% markup on costs. a. What are the per unit allocations of overhead for each product? Show your work. b. What per unit selling prices did Lilly set for each of the products? Show your work. c. Assume that Lilly decides to allocate overhead using direct materials costs as the cost driver. What are the per unit allocations of overhead for each product? Show your work. d. What per unit selling prices would Lilly set for each of the products based on the revised per unit cost allocations from Part c? Show your work