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The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $180 and $145, respectively.
The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $180 and $145, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 118,000 units of each produ Its unit costs for each product at this level of activity are ct. given below: Alpha Beta 36 24 Direct materials Direct labor 32 27 Variable manufacturing overhead 19 30 Traceable fixed manufacturing overhead 27 Variable selling expenses 24 20 Common fixed expenses 27 22 Total cost per unit $165 $140 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its com fixed expenses are deemed unavoidable and have been allocated to products based on sales dollars
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