Required: 1 Using a singie plantwide rate, the company computes owerhead cost per unit of $15 for the standard model and $20 for the deluae model. Which model theuld the company produce? Hint Compute oroduct cost per unit and compare that with uelling seice to get gross profit per unit. (Use cells AS to CB from the given informabon to complete this question. A negative aross profit should be indicated with a minus sign.) Whith model should the companr peoduce? 2. Using activity based costing, the company computes oremead cost per uinit of $5 for the standard model and $40 for the deluoe roodel. Which model should the company peoduce? tent: Compute 2. Using activity based costing, the company computes overhead cost per unit of $5 for the standard model and $40 for the deluxe model. Which model should the company produce? Hint: Compute product cost per unit and compare that with selling price per unit to get gross profit per unit. (Use cells AS to CB from the given information to complete this question. A negative gross profit should be indicated with a minus sign.) Which modef should the company produce? Students: The scratchpad area is for you to do any additional work you need to solve this question or can be used to show vour work. Nothing in this area will be graded, but it will be submitted with your assignment..
Required: 1 Using a singie plantwide rate, the company computes owerhead cost per unit of $15 for the standard model and $20 for the deluae model. Which model theuld the company produce? Hint Compute oroduct cost per unit and compare that with uelling seice to get gross profit per unit. (Use cells AS to CB from the given informabon to complete this question. A negative aross profit should be indicated with a minus sign.) Whith model should the companr peoduce? 2. Using activity based costing, the company computes oremead cost per uinit of $5 for the standard model and $40 for the deluoe roodel. Which model should the company peoduce? tent: Compute 2. Using activity based costing, the company computes overhead cost per unit of $5 for the standard model and $40 for the deluxe model. Which model should the company produce? Hint: Compute product cost per unit and compare that with selling price per unit to get gross profit per unit. (Use cells AS to CB from the given information to complete this question. A negative gross profit should be indicated with a minus sign.) Which modef should the company produce? Students: The scratchpad area is for you to do any additional work you need to solve this question or can be used to show vour work. Nothing in this area will be graded, but it will be submitted with your assignment..