Your company is discussing the potential benefits of adopting an ABC costing system. Your company noticed that with the emergence of new competitors, the current cost markup pricing strategy does not seem to work anymore. To perform an analysis, a visualization showing direct materials, direct labor and overhead under both the traditional and the ABC costing for two popular products is generated. Please answer the following questions based on the visualization.

Click here to access a Tableau file, and here to access a Power BI file. (The Tableau and Power BI files contain the same data; you can use either to answer the questions in this assignment. Your instructor may specify which program they prefer you to use!)

How to Access Tableau: You can open the Tableau file in this problem statement with Tableau Desktop software. If you don’t have Tableau Desktop, you can download the most recent version of Tableau Reader, a free program that allows you to open Tableau visualizations. To get the most recent version, search for “Tableau Reader” in your internet browser, or click here.

How to Access Power BI: You can open the Power BI file in this problem statement with Power BI Desktop. If you don’t have it already, search for “Power BI download” in your internet browser, or click here for a free download.

Question : Assume that the company uses “total costs (direct materials plus direct labor and overhead) times 1.2” to be the price. For example, if total costs are $100, the price is $120. For product CJ100, what is the new price under ABC costing compared to the old price under the traditional method?

PLEASE RESPOND ASAP WITH AN ANSWER AND EXPLANATION.