Case #1 Roberts Company produces two types of gears, Gear A and Gear B. Relevant information is as follows: Gear A Gear B Selling price per unit $12.00 $15.00 Variable cost per unit $6.00 $7.00 Fixed cost per unit $1.50 $1.50 Each gear must spend time on a special machine. The firm owns five machines that together provide 12,000 hours of machine time per year. Gear A requires 12 minutes of machine time; Gear B requires 24 minutes of machine time. Required: (A) Calculate the contribution margin per hour of the machine time for Gear A. Calculate the contribution margin per hour of the machine time for Gear B. (B) If Roberts faces only the production constraint (12,000 hours of machine time), how many units of Gear A should be produced? And how many units of Gear B? Calculate the total contribution margin from this product mix. (C) Now suppose that Roberts cannot sell more than 45,000 units of each type of gear. How many units of Gear A should be produced? And how many units of Gear B? Calculate the total contribution margin from this product mix