v (c) Your answer is correct. Compute the production cost per unit under each plan. (Round answers to 2 de Plan A Plan B Production cost per unit 5.37 5. SHOW SOLUTION LINK TO TEXT VIDEI By accessing this Question Assistance, you will learn while you earn points based v (d) Compute the gross profit under each plan. Plan A Plan B Gross Profits Which plan should be accepted? * should be accepted. LINK TO TEXT VIDEO: SI CALCULATOR STANDARD VIEW INTER VERSION MACK NEKE Problem 13-3 (Part Level Submission) Riverbed Industries had sales in 2016 of $7,440,000 and gross profit of $1,113,000 Management is considering two alternative budget plans to increase its gross profitin 2017 Plan A would increase the s ing price per unit from $8.00 to $8.40. Sales volume would decrease by 10% from its 2016 level. Plan B would decrease the selling price per unit by $0.50. The marketing department expects that the sales volume would increase by 109,000 units At the end of 2016, Riverbed has 44,000 units of inventory on hand. I A ccepted, the 2017 ending inventory should be equal to of the 2017 sales. If an accepted the ending inventory should be equal to 10,000 units. Each unit produced will cost $1.00 in direct labor $1.40 in direct materials, and $1.20 in variable overhead. The foxed overhead for 2017 should be $1,021,000 Your answer is correct. 2.70.) Prepare a sales budget for 2017 under each plan. (Round Unitselling price answers to 2 decimal places, RIVERBED INDUSTRIES Sales Budget For the Year Ending December 31, 2017 Plan AS Expected unit sales 17.000 Unit selling price 7,792,500 Total sales