Employees in the Fabrication Department of Alexander Company are currently paid $10 per hour for an 8-hour shift. For the past several weeks, production has averaged 5 units per hour per worker. Factory overhead in this department is $12 per direct labor hour. Employees and management are considering the following piecework proposal: Required: (1) Prepare an analysis schedule for the proposal, showing production at each of the following levels: 40, 45, 50, 55, and 60 units per 8-hour day. Compute unit costs to the nearest cent. (2) Does the piecework proposal appear advantageous to employees and/or to management?
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