Question: pls answer with explanation and computation 35. 36. Q Co. produces a part that has the following costs per unit: Direct material P 8 Direct

pls answer with explanation and computation

pls answer with explanation and computation 35.
35. 36. Q Co. produces a part that has the following costs per unit: Direct material P 8 Direct labor 3 Variable overhead 1 Fixed overhead _5 Total Z Corp. can provide the part to Q for P19 per unit. Q Co. has determined that 60 percent of its fixed overhead would continue if it purchased the part. However, if Q no longer produces the part, it can rent that portion of the plant facilities for P60,000 per year. Q Co. currently produces 10,000 parts per year. Which alternative is preferable and by what margin? MakeP20,000 MakFP50,000 BuyP10,000 BuyP40,000 shop's: ANSWER: c MEDIUM Armstrong Co. has 15,000 units in inventory that had a production cost of P3 per unit. These units cannot be sold through normal channels due to a significant technology change. These units could be reworked at a total cost of P23,000 and sold for P28,000. Another alternative is to sell the units to a junk dealer for P8500. The relevant cost for Armstrong to consider in making its decision is P45,000 of original product costs. P23,000 for reworking the units. P68,000 for reworking the units. P28,000 for selling the units to the junk dealer. 9-.\" s79: ANSWER: b EASY

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