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traceable fixed selling and administrative expenses. Diego believes that if it drops the Wey analyzing segment profitability and assuming all else remains constant in Year
traceable fixed selling and administrative expenses. Diego believes that if it drops the Wey analyzing segment profitability and assuming all else remains constant in Year 2, what would region, the East region's sales will grow by 5% in Year 2. Using the contribution approach in be the profit impact of dropping the West region in Year 2? 15. Assume the West region invests $30,000 in a new advertising campaign in Year 2 the increases its unit sales by 20%. If all else remains constant, what would be the profit impact of pursuing the advertising campaign? connect ercises EXERCISE 4-1 Variable and Absorption Costing Unit Product Costs 104-1 Ida Sidha Karya Company is a family-owned company located on the island of Bali in Indonesia. The company produces a handcrafted Balinese musical instrument called a gamelan that is similar to a xylophone. The gamelans are sold for $850. Selected data for the company's operations last year follow: 0 250 225 25 Units in beginning inventory. Units produced Units sold .... Units in ending inventory. Variable costs per unit: Direct materials Direct labor. Variable manufacturing overhead Variable selling and administrative. Fixed costs: Fixed manufacturing overhead. Fixed selling and administrative $100 $320 $40 $20 $60,000 $20,000 Variable Costing and Segment Reporting: Tools for Management Required: 1. Assume that the company uses absorption costing. Compute the unit product cost for one gamelan. 2. Assume that the company uses variable costing. Compute the unit product cost for one gamelan
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