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The product cost per unit for the deluxe model is $35 for direct materials, $25...

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Accounting

The product cost per unit for the deluxe model is $35 for direct materials, $25 for direct labor, and $40 for overhead, for a total of $100. The selling price of the deluxe model is $90, which yields a gross profit of $-10. Therefore, the company should produce the deluxe model because it has a higher gross profit per unit

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