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decrease by 30.40 pU Planning Future Sales: Contribution Margin Approach P3. BUSINESS APPLICATION All Honors...

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decrease by 30.40 pU Planning Future Sales: Contribution Margin Approach P3. BUSINESS APPLICATION All Honors Industries is considering a new pto its Trophy Division. The product, which would feature an alligator, is expected to global market appeal and to become the mascot for many high school and universi tic teams. Expected variable unit costs are as follows: direct materials, $18.50, d labor, S4.25; production supplies, $1.10; selling costs, $2.80; and other, $1.95. Anm fixed costs are depreciation, building, and equipment, $36,000; advertising, $45(00 and other, $11,400. Plans are to sell the product for $55

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