1. Use your plan of action to solve each problem found in Appendix A, clearly outlining the procedures used, providing a concise explanation of each step, labeling relevant formulas, and showing worked out calculations and complete solutions. You may use a calculator or Excel spreadsheet to help perform the necessary calculations, but all corresponding work must be shown completely. 2. Answer all questions posed in the problem; if applicable, analyze and evaluate your results and provide a contextual explanation of the solutions you obtained. 3. Review your calculations and solutions and make sure that an external viewer would be able to follow your methodology and make sense of your calculations and corresponding explanations. Make certain that you have completed all steps of each problem. Problem #7: Cost Profit Volume Analysis Assume that Snowmobile Company produces two products: Racer and Cruiser. Below are the data for each: Cruiser Selling price $6,000 $4,000 Variable cost 3,600 2,650 Racer In the past, Snowmobiles had difficulty finding skilled workers. However, the company recently hired additional labor, thereby eliminating this resource constraint. The company now is faced with limited available machine hours. It has a total of 4,000 machine hours available each month. The Racer requires 50 machine-hours per unit and the Cruiser requires 15 machine-hours per unit. 1. What is the contribution margin provided by each product? 2. Calculate the contribution margin per unit of constrained resource for each model 3. Which model would the company prefer to sell to maximize overall company profit