Exercise 20-9 (Part Level Submission) Anna Garden recently opened her own basketweaving studio. She sells...
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Accounting
Exercise 20-9 (Part Level Submission) Anna Garden recently opened her own basketweaving studio. She sells finished baskets in addition to the raw materials needed by customers to weave baskets of their own. Anna has put together a variety of raw material lots, each including materials at various stages of completion. Unfortunately, owing to space m atins, Anna is unable to carry all varieties of its original embled and must choose between two basic packages The basic introductory lot includes undyed, uncut reeds (with dye induded) for weaving one basket. This basic package costs Anna $12 and sells for $28. The second lot, called Stage 2, includes out reeds that have already been dyed. With this kit the customer need only soak the reeds and weave the basket. Anna is able to produce the second kit by using the basic materials induded in the first it and adding one hour of her own time, which she values at $22 per hour. Because she is more efficient at cutting and dying reeds than her average customer, Anna is able to make two lots of the dyed reeds in one hour from one kit of undyed reeds. The Stage 2 kat sells for $36. (al) Prepare an incremental analysis for the Anna's basketweaving studio (Enter negative amounts using either a negative si preceding the number 0-45 or parentheses e.o(45) Net Income increase Sell (Basic Kit) Process Further (Stage 2 Kit) Sales per unit Direct materials Direct labor Total Net income per unit Click if you would like to Show Work for this questioni Open Show Werk Verso 4.24.71

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