Arnold Manufacturing, Inc., plans to develop a new industrial-powered vacuum cleaner for household use that runs exclusively on rechargeable batteries. The product will take 6 months to design and test. The company expects the vacuum sweeper to sell 12,000 units during the first 6 months of sales; 24,000 units per year over the following 2 years; and 10,000 units over the final 6 months of the product's life cycle. The company expects the following costs: i (Click the icon to view the cost information.) Read the requirements. More info Period Cost Total Fixed Cost for the Period Variable Cost per Unit Months 0-6 Design costs $ 600,000 Months 7-12 Production $ 1,600,000 $100 per unit Marketing $ 1,200,000 Distribution $ 250,000 $12 per unit Months 13-36 Production Marketing Distribution $ $ 6,000,000 $80 per unit $ 2,800,000 800,000 $10 per unit Months 37-42 Production $ 1,000,000 $75 per unit Marketing Distribution $ 550,000 $ 150,000 $9 per unit Ignore the time value of money.