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Check 5 ! 5 of 15 Required Information The Foundational 15 (Algo) (L011-2, LO11-3, LO11-4, LO11-5, L011-6] [The following information apples to the questions displayed below) Cane Company manufactures two products called Alpha and Beta that sell for $135 and $95, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 105,000 units of each product, its average cost per unit for each product at this level of activity are given below: 04:56:54 Book Direct materials Direct labor Variable manufacturing overhead Traceable fixed manufacturing overhead Variable selling expenses Common Fixed oxpenses Total cost per unit Alpha 9 30 23 10 29 25 28 5135 Beta 18 16 8 22 11 23 $ 87 rences The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. of 15 Foundational 11-5 (Algo) 5. Assume that Cane expects to produce and sell 98,000 Alphas during the current year. One of Cane's sales representatives has found a new customer who is willing to buy 13,000 additional Alphas for a price of $92 per unit, however pursuing this opportunity wil decrease Alpha sales to regular customers by 6,000 units. a. What is the financial advantage (disadvantage) of accepting the new customer's order? b. Based on your calculations above should the special order be accepted? 4:56.44 Hook Complete this question by entering your answers in the tabs below. Tint rences Reg 5A Reg 5B What is the financial advantage (disadvantage) of accepting the new customer's order? Roq 50 > The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are unavoidable and have been allocated to products based on sales dollars. Foundational 11-6 (Algo) 6. Assume that Cane normally produces and sells 93,000 Betas per year. What is the financial advantage (disadvantage of discontinuing the Beta product line? co Next > Ull Sdies dollars. Foundational 11-8 (Algo) 8. Assume that Cane normally produces and sells 63,000 Betas and 83,000 Alphas per year. I Cane discontinues the Beta product line, Its sales representatives could increase sales of Alpha by 18,000 units. What is the financial advantage (disadvantage of discontinuing the Beta product line

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