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URGENT HELP PLEASE!!! Chapter 6 Foundational 15 8 Part 8 of 15 Required information The following information applies to the questions displayed below) Cane Company

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Chapter 6 Foundational 15 8 Part 8 of 15 Required information The following information applies to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $130 and $90, respectively. Each product uses only one type of raw material that costs $5 per pound. The company has the capacity to annually produce 102,000 units of each product. Its average cost per unit for each product at this level of activity are given below: Alpha Beta Direct materiale $ 25 $10 Direct labor 22 21 Variable manufacturing overhead 17 7 Traceable tixed manufacturing overhead 10 20 Variable selling expenses 14 10 Common fixed expenses 17 12 Total cost per unit 6113 580 3 10:55 The company considers its traceable foved manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. 8. Assume that one normally produces and sells 62,000 Betes and 82,000 Alphos per year. If Cane discontinues the Beta product line, its sales representatives could increase sales of Alpha by 17,000 units. What is the financial advantage (disadvantage of discontinuing the Beta product line? 9. Assume that Cane expects to produce and sell 82,000 Alphas during the current year. A supplier has offered to manufacture and deliver 82,000 Alphas to Cane for a price of $88 per unit. What is the financial advantage (disadvantage) of buying 82,000 units from the supplier instead of making those units? 10. Assume that Cane expects to produce and sell 52,000 Alphas during the current year. A supplier has offered to manufacture and deliver 52,000 Alphas to Cane for a price of $88 per unit. What is the financial advantage (disadvantage) of buying 52,000 units from the supplier instead of making those units

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