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Akron company sells 12,400 units of its product per year for $104 each. Variable costs total $79 per unit. Akron's manager believes that if a
Akron company sells 12,400 units of its product per year for $104 each. Variable costs total $79 per unit. Akron's manager believes that if a new machine is leased for $176,700 per year, modifications can be made to the product that will increase its retail value. These modifications will increase variable costs by $18.00 per unit, but Akron is hoping to sell the modified units for $134 each. a-1. Should Akron modify the units or sell them as is? O Sell as is O Sell with modifications a-2. How much will the decision affect profit? A
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