Andretti Company has a single product called a Dak. The company normally produces and sells 89,000 Daks each year at a selling price of $64 per unit. The company's unit costs at this level of activity are given below: Direct materials $9.50 Direct labor 11.00 Variable manufacturing overhead Fixed manu facturing overhead Variable selling expenses Fixed selling expenses 2.00 4.00 ($356,000 total) 2.70 4.50 ($400,500 total) $33.70 Total cost per unit Req 1A Req 3 Req 1B Req 4A to 4C Req 4D Assume that Andretti Company has sufficient capacity to produce 120,150 Daks each year without any increase manufacturing overhead costs. The company could increase its unit sales by 35% above the present 89,000 unit it were willing to increase the fixed selling expenses by $130,000. What is the financial advantage (disadvantage an additional $130,000 in fixed selling expenses? Financial advantage $ 954,020 Req 1A Req 1B Req 1B Req 3 Req 1A Req 4A to 4C Req 4D The company has 500 Daks on hand that have some irregularities and are therefore considered to be "seconds." irregularities, it will be impossible to sell these units at the normal price through regular distribution channels. W unit cost figure that is relevant for setting a minimum selling price? (Round your answer to 2 decimal places.) Relevant unit cost per unit Req 1B Req 4A to 4C Req 1A Req 1B Req 3 Req 4D Req 4A to 4C Due to a strike in its supplier's plant, Andretti Company is unable to purchase more material for the production of Daks. The strike is expected to last for two months. Andretti Company has enough material on hand to operate at 25% of normal levels for the two-month period. As an alternative, Andretti could close its plant down entirely for the two months. If the plant were closed, fixed manufacturing overhead costs would continue at 30% of their normal level during the two-month period and the fixed selling expenses would be reduced by 20% during the two-month period. (Round number of units produced to the nearest whole number. Round your intermediate calculations and final answers to 2 decimal places. Any losses/reductions should be indicated by a minus sign.) a. How much total contribution margin will Andretti forgo if it closes the plant for two months? b. How much total fixed cost will the company avoid if it closes the plant for two months? C. What is the financial advantage (disadvantage) of closing the plant for the two-month period? Show lessA Forgone contribution margin Total avoidable fixed costs Financial advantage (disadvantage)