A customer has asked Lalka Corporation to supply 3,000 units of product H60, with some modifications, for $34.70 each. The normal selling price of this product is $46.35 each. The normal unit product cost of product H60 is computed as follows: $ Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Unit product cost 14.70 1.30 7.00 7.90 30.90 $ Direct labor is a variable cost. The special order would have no effect on the company's total fixed manufacturing overhead costs. The customer would like some modifications made to product H60 that would increase the variable costs by $3.80 per unit and that would require a one-time investment of $24,000 in special molds that would have no salvage value. This special order would have no effect on the company's other sales. The company has ample spare capacity for producing the special order. Required: Determine the financial advantage or disadvantage of accepting the special order. Glover Company makes three products in a single facility. These products have the following unit product costs: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Unit product cost Product AB $ 15.80 $ 11.00 $ 19.10 17.20 2.60 3.10 21.60 24.10 $ 59.10 $ 55.40 $ 14.10 20.30 3.30 31.30 69.00 Additional data concerning these products are listed below. Product Mixing minutes per unit Selling price per unit Variable selling cost per unit Monthly demand in units 3.30 2.60 3.10 $74.30 $ 66.40 $ 81.00 $ 2.80 $ 2.30 $ 1.90 2,000 1,000 1,000 The mixing machines are potentially the constraint in the production facility. A total of 10,900 minutes are available per month on these machines. Direct labor is a variable cost in this company Required: a. How many minutes of mixing machine time would be required to satisfy demand for all three products? b. How many units of each product should be produced to maximize net operating income