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Wheeler Company can produce a product that incurs the following costs per unit direct materials. $10.50, direct labor, $24.50, and overhead $16.50. An outside supplier

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Wheeler Company can produce a product that incurs the following costs per unit direct materials. $10.50, direct labor, $24.50, and overhead $16.50. An outside supplier has offered to sell the product to Wheeler for $4760. Wheeler buys from the supplier, it will still incur 40% of its overhead cost. Compute the net incremental cost or savings of buying Multiple Choice $2.70 cost per un 15 38 savings per unit $5.38 cost per unit $600 cost per un 52.70 savings per Walters manufactures a specialty food product that can currently be sold for $23.00 per unit and has 21000 units on hand. Alternatively, it can be further processed at a cost of $13,000 and converted into 13,000 units of Deluxe and 7,000 units of Super. The selling price of Deluxe and Super are $31.00 and $2100, respectively. The incremental income of processing further would be: Multiple Choice $54.000 $67.000 $99.000 $45,000 $13.000 Next > 16 of 40

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