3 Vernon Company makes and sells lawn mowers for which it currently makes the engines. It has an opportunity to purchase the engines from a reliable manufacturer. The annual costs of making the engines are shown here. 5 mits Cost of materials (14,500 Units * $23) Labor (14,500 Units $30) Depreciation on manufacturing equipment. Salary of supervisor of engine production Rental cost of equipment used to make engines Allocated portion of corporate-level facility-sustaining conta Total cost to make 14,500 engines $ 333,500 435,000 28,000 78,000 25,000 90.000 $989,500 References *The equipment has a book value of $103,000 but its market value is zero Required a. Determine the maximum price per unit that Vernon would be willing to pay for the engines. b. Determine the maximum price per unit thot Vernon would be willing to pay for the engines, if production increased to 18,750 units. (For all requirements, Round your answers to 2 decimal places.) a. Maximum price per unit b. Maximum price per unit