8 Part 44 The following information applies to the questions displayed below Morning Sky, Inc. (Si), manufactures and colls computer games. The company has several product lines based on the age range of the target market. MSi sells both individual gomes as well as packaged sets. All games are in CD format and some utilize accessories such as steering wheels, electronic tablets, and hand controls. To date, MSI has developed and manufactured all the CDs itself as well as the accessories and packaging for all of its products The gaming market has traditionally been targeted at teenagers and young adults; however, the increasing affordability of computers and the incorporation of computer activities into junior high and elementary school curriculums has led to a significant increase in sales to younger children MSi has always included games for younger children but now wants to expand its business to capitalize on changes in the industry. The company currently has excess capacity and is Investigating several possible ways to improve profitability 1 points Han Print MSIS educational products are currently sold without any supplemental materials. The company is considering the inclusion of Instructional materials such as an overhead slide presentation, potential test questions, and classroom bulletin board materials for teachers. A summary of the expected costs and revenues for MSI two options follows: Co with Instrutional only Material Estimated demand 30,000 unit 30.000 unite Tatimated wale price $26.00 541.00 tatimated coat per unit Direet material 4.25 3 4.75 Direct la 5.50 8.50 Variable manufacturing crechend 5.50 3.25 Pied manufacturing over bed 5.00 5.00 Unit man tacturing coat $20.25 $ 27.00 Masional development.com $105.000 Here Required: 1. Based on the given dato, compute the increase or decrease in profit that would result of instructional materials were added to the CDs 2. Should MSI add the instructional materials or sell the CDs without them? 3-o. Suppose that the higher price of the CDs with instructional materials is expected to reduce demand to 21000 units. Complete the table given below based on Requirement 1 and 2 etata 3-b. Should MSI add the instructional materials or sell the CDs without them? Complete this question by entering your answers in the tabs below. Re: Req2 RA Reg 30 Based on the given data, compute the increase or decrease in profit that would result of instructional materials were added to the CDs COOWY CD with instructional Material Incremental Sales Revenge Variable costs Colbion Margir Additional Development Co Offer Profit (LOS) Reg 2 > 8 Part 4074 (The following information applies to the questions displayed below! Morning Sky, Inc. (MS), manufactures and sells computer games. The company has several product lines based on the age range of the target market MSI sells both individual games as well as packaged sets. All games are in CD format and some utilize accessories such as steering wheels, electronic tablets, and and controls. To date, MSI has developed and manufactured as the CDs itself as well as the accessories and packaging for all of its products The gaming market has traditionally been targeted at teenagers and young adults, however, the increasing affordability of computers and the incorporation of computer activities into junior high and elementary school currculums has led to a significant increase in sales to younger children. MS has always included games for younger children but now wants to expand its business to capitalize on changes in the industry. The company currently has excess capacity and is Investigating several possible ways to improve profitability 1 MSS educational products are currently sold without any supplemental materials. The company is considering the inclusion of Instructional materials such as an overhead slide presentation, potential test questions, and classroom bulletin board materials for teachers. A summary of the expected costs and revenues for MS's two options follows: co Instructia con Materiale Kutated down 30,000 RIB 30.000 kuited wales prie $26.00 $1.00 taited cont per unit Det steel 4.25 . 4.15 5.50 VAY Maturing overhead 5.50 0.75 Perioad 200 9.00 Unit atau 13.00 Mional development 8105.000 Required: med on the given data compute the increase or decrease in profit that would result ir instructional materials were added to the CDs 2. Should MSI add the instructional materials or sell the CDs without them? 3. Suppose that the higher price of the CDs with instructional materials is expected to reduce demand to 21000 units. Complete the table given below based on Requirement and 2 data 3-6. Should MSI add the instructional materials or set the Cos without them? Complete this question by entering your answers in the tabs below. 2 RegJA R30 Suppose that the her price of the CDs with instructional materials is expected to reduce demand to 21,000 units. Complete the table given below based on Requirement 1 and 2 data. Co with us anal incremental CD Only Materials Si Reve Variable Corte Corbuton Margin Additional Development Costs Oferta PL