Concord Industries had sales in of $ and gross profit of $ Management is considering two alternative
budget plans to increase its gross profit in
Plan A would increase the unit selling price from $ to $ Sales volume would decrease by units from its level. Plan B
would decrease the unit selling price by $ The marketing department expects that the sales volume would increase by units.
At the end of Concord has units of inventory on hand. If Plan A is accepted, the ending inventory should be
units. If Plan B is accepted, the ending inventory should be equal to units. Each unit produced will cost $ in direct labor,
$ in direct materials, and $ in variable overhead. The fixed overhead for should be $
