MCQ Manufacturing Company produced and sold 200,000 units of Product J-45Z in January 2021.Selling price per unit is $70. The company incurred the following: Direct materials cost - $20 per unit Direct labor hours per unit - 0.5 hr/unit Manufacturing overhead - $10/unit If the manufacturing overhead is equal to 80% of direct labor rate per unit. How much is the total production cost in January? 5. A company plans to replace its existing machinery with a new one which costs $1,200,000. The old machinery was purchased at a cost of $1,200,000 and has an accumulated depreciation balance of $500,000. The new machine is estimated to be useful for 5 years. The remaining useful life of the old machinery is also 5 years. The old machinery can be sold now for $500,000. On the other hand, the new machinery has a resale value at the end of year 5 amounting to 10% of its cost. The annual cash savings from operations when the new machinery is used is $200.000.