=+2. Briefly report your recommendations.

percentage, 6%

Plasma Labs Inc. recently began production of a new product, flat panel displays, which required the investment of $3,000,000 in assets. The costs of producing and selling 20,000 units offlat panel displays are estimated as follows:

Variable costs per unit: Fixed costs:

Direct materials $150 Factory overhead $2,000,000 Direct labor 30 Selling and Factory overhead 50 administration 1,000,000 Selling and administrative expenses Total 20

$250 expenses