A company can sell all the units it can produce of either Product A or Product B but not both. Product A has a unit contribution margin of $12 and takes two machine hours to make Product B has a unit contribution margin of $27.0 and takes three machine hours to make. If there are 5000 machine hours available to manufacture a product, income will be $15000 more if Product is made the same either product is made $15000 less of Product is made $15000 less if Product A is made Vaughn Manufacturing can produce 100 units of a component part with the following costs: Direct Materials Direct Labor Variable Overhead Fixed Overhead $23000 4500 13000 11000 If Vaughn Manufacturing can purchase the units externally for $60000, by what amount will its total costs change? An increase of $19500 An increase of $18500 A decrease of $11000 An increase of $60000 Vaughn Manufacturing is unsure of whether to sell its product assembled or unassembled. The unit cost of the unassembled product is $24 and Vaughn would sell it for $58. The cost assemble the product is estimated at $21 per unit and the company believes the market would support a price of $72 on the assembled unit. What decision should Vaughn make? Process further, the company will be better off by $17 per unit. Sell before assembly, the company will be better off by $14 per unit. Sell before assembly, the company will be better off by $7 per unit. Process further, the company will be better off by $13 per unit. It costs Sunland Company $26 per unit ($18 variable and $8 fixed) to produce its product, which normally sells for $38 per unit. A foreign wholesaler offers to purchase 4400 units at $21 each. Sunland would incur special shipping costs of $2 per unit of the order were accepted. Sunland has sufficient unused capacity to produce the 4400 units. If the special order is accepted, what will be the effect on net income? $79200 increase $4400 decrease $4400 increase