Product Pricing using the Cost Plus Approach Methods Differential Analysis for Accepting Additional Business Crystal Displays Inc recently began production of a new product flat panel displays, which required the investment of $1,500,000 assets. The cost of producing and selling 5.000 units of rotate estimated as follows Variables per un Die materials Direct labor Factory verhead Selling and administrative expenses Total arable cost per Pued cost Factory overhead Selling and administrative expenses $250,000 350.000 5120 30 50 35 5235 Crystal Displays tinc, is currently considering establishing a rich for a panel display. The president of Cyphes decided to the compus arch to product anong antas incan plays must eam 15 return on investest Required Hotel Round alp percentages to two decimal places, it required. Hound all costs per unit and selling prices per unit to the nearest whole dottan 1. Determine the wnourt of desvea pot from the production and sale of fat paties 2. Auring that the product methods used, determine the fino * Product cost mount per un bi Markup percentage Seting pee per un Note: Round all markup percentages to two decimal places, it required. Round all costs per unit and selling prices per unit to the nearest whate dollar 1. Determine the amount of desired profit from the production and sale of fat panel delays 2. Astoming that the product cost method is used determine the following Product cost mount per unit Marko bercentage Sing price per 3. d) Aug that the last this determinowe Total runt per Markus per Selling price per unit 4. Appendix Asuming that the varie cohod is used to me Variable cost amount per unit harap percentage Seling price per i 5. The cosplus proach price corted above shed as a guide for thing to how the costi, moment to establish a different short-run pre . could Selling priceperunt s. The compus approach police computed above should be viewed at a generot quitetind for establishing hong-puno normat prices, however, other considerations, such an coded ngent to a different short . Amatat as of August 1, 3.000 units of rat panel displays have been produced and solo during the current year. Anays of the domestic windicates that 2.000 action to recebe during the remainder of the year thermal product price detened under the product cost method. Cystal terved in offer from a line for units of tatpanel dist 1725 each. Maple Leaf Votne will market the units in Canada under its own brand name, and no variable ministrative expected with the sale will be incomed by Crystal Displays Inc. The additional business to expected to affect the domestic sales of flat panel displays, and the abionatuts could be produced seating factory respect Prepare a differentialysis of the proposed sale to Maple Leal Inc. If an amount is zero, entero Differential Analysis Reject (AR, 1) or Accept (Alt. 2) Order August 3 Reject Accept Differential Order Order Effects (Alternative 1) (Alternative 2) (Alternative 2) ev Costs Profit Bad on the areas in port() should the proposal he wepted