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XYZ Company has offered to sell 5000 units of product for $27 each to Company B. If Company B accepts the offer, some of the

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XYZ Company has offered to sell 5000 units of product for $27 each to Company B. If Company B accepts the offer, some of the facilities presently used to manufacture this product could be used to help with the manufacture of another product, thus saving $15.000 of the fixed factory overhead applied to the earlier product. Costs per unit for 5000 units are; Direct material: $4 Direct labour:12 Fixed factory overhead: $35 000 What is the current varial Company B? cost in total for Ltfen birini sein: a. 35,000 b. 80,000 c. 115,000 d. 20,000 e. 135,000

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