Google LLC is analyzing its software development costs using different cost accounting methods:

• Requirements:
  • Calculate the Standard Cost per software package:
    • Direct Costs: $50
    • Indirect Costs: $20
• Implement Marginal Cost Accounting to assess the cost impact of developing additional software features.
• Apply Activity-Based Costing to allocate server maintenance and support costs.
• Discuss how each costing method influences pricing decisions and profitability in software sales.

Standard Cost Calculation:

Category	Amount per Package ($)
Direct Costs	$50
Indirect Costs	$20
Total Standard Cost per Package	$70