(LO 8) Leeks Company's product has a contribution margin per unit of $14.50 and a contribution margin ratio of 25.0%. What is the selling price of the product? Multiple Choice $6. $23. $35. O $46. O $58. (LO 8) Factor Co. can produce a unit of product for the following costs: Direct material Direct labor Overhead Total costs per unit $ 8.90 24.90 44.50 $78.30 An outside supplier offers to provide Factor with all the units it needs at $49.60 per unit. If Factor buys from the supplier, the company will still incur 60% of its overhead. Factor should choose to: Multiple Choice Buy since the relevant cost to make it is $60.50. O Make since the relevant cost to make it is $51.60. O Buy since the relevant cost to make it is $51.60. O Make since the relevant cost to make it is $33.80 Buy since the relevant cost to make it is $33.80. (LO 8) Maxim manufactures a hamster food product called Green Health. Maxim currently has 13,000 bags of Green Health on hand. The variable production costs per bag are $2.40 and total fixed costs are $16,000. The hamster food can be sold as it is for $10.00 per bag or be processed further into Premium Green and Green Deluxe at an additional cost. The additional processing will yield 13,000 bags of Premium Green and 3,600 bags of Green Deluxe, which can be sold for $9 and $7 per bag, respectively. Assuming Maxim further processes Green Health further into Premium Green and Green Deluxe, revenue from the two products would be: Multiple Choice $142,200. $137,200. C $12,200. $7,200. O $5,000. (LO 9) Marks Corporation has two operating departments, Drilling and Grinding, and an office. The three categories of office expenses are allocated to the two departments using different allocation bases. The following information is available for the current period: Office Expenses Salaries Depreciation Advertising Total $44,000 21,000 44,000 Allocation Basis Number of employees Cost of goods sold Net sales Item Number of employees Net sales Cost of goods sold Drilling Grinding Total 900 2,100 3,000 $350,000 $525,000 $875,000 $ 91,200 $148,800 $240,000 The amount of depreciation that should be allocated to Grinding for the current period is Multiple Choice O $21,000. $27,280. O O O $7,980. O O $13,020. O $44,000