$7)$ Compute the TOTAL VARIABLE COSTS PER UNII for each of the products $($tents$,$ jackets, and boots$),$ based on standard costs, and compute the TOTAL FDCED COST$5$ for the company. Then, discuss how the variable costs and fixed costs would change if the company decided to ELIMINATE THE JACKETS PRODUCT LINE. $12$ points

$8)$ Based on the most recent selling prices, compute the CONIRIBUTIONMARGINPER UNI for each of the products $($tents$,$ jackets, and boots$).6$ points

$($c$)$ Gupt$$ and Downen, $2023$

$9)$ Compute the BREAK$-$EVEN POINI assuming that the company decided to produce and sell only the tents product line. Then, compute the BREAK$-$EVENPOINI assuming that the company decided to continue with tents and boots but to discontinue jackets $($and assuming that the company can usually sell two units of tents for every unit of jackets$).6$ points

$10)$ Compute the BREAK$-$EVENPOINI and the TARGET PROFIT VOLUME assuming that the company decided to continue operating all three product lines $($and assuming that the company can usually sell four units of tents for every two units of jackets and for every two pairs of boots$).6$ points

$11)$ Given the potential increase in competition, what could the company do to be more profitable? What actions might the company take to better control costs? $5$ points

Grandiose Garb & Gear $(3$G$)$ manufactures high$-$quality camping products intended for recreational

purposes. The three products manufactured by $3$G are IENTS, IACKETS, and BOOTS. The expected $($standard$)$

selling price to customers is $$230$ per unit for tents, $$125$ per unit for jackets, and $$95$ per pair for boots. The

company utilizes complex processes involving various materials, labor, and overhead to manufacture its

products. Expected $($standard prices$)$ of selected direct materials $($DMs$)$ and direct labor $($DL$)$ are provided

below:

The table below indicates the expected $($standard$)$ quantities for each of the selected manufacturing

components $($materials and labor$)$ associated with the production of one unit or pair of each product:

In the most recent year, $3$G manufactured and sold $2,000$ units of tents; $1,200$ units of jackets; and $1,000$

pairs of boots. The company reported sales revenue of $$480,000$ for tents; $$120,000$ for jackets; and $$80,000$

for boots. Finally, $3$G incurred the following actual component $($DMs and DL$)$ costs:

Polyester

Zippers

$ $200,000$ for $30,000$ yards

Assembly Technicians

S $46,000$ for $28,000$ zippers

$($c$)$ Gupta and

$$16$$$,000$ for $12,000$ hours

Downen, $2023$