2.....s

Pharoah manufactures pre-made scrapbook pages for scrapbookers who don't have time to create their own pages. The clients need only insert their pictures on the pages. It currently sells a child's scrapbook with pre-made pages for $57. Production costs are $24 variable and $12 fixed. The company is considering creating scrapbook kits instead to save labour costs. They are expecting to sell these kits for $45 each and save $15 in variable costs. Prepare an incremental analysis. (If an amount reduces the net income then enter with a negative sign preceding the number e.g. 45,000 or parenthesis, es (45,000). While alternate approaches are possible, irrelevant fixed costs should be included in both options when solving this problem.)