Chip Company produces three products, Kin, Ike, and Bix. Each product uses the same direct material. Kin uses 4 pounds of the material, Ike uses 2.2 pounds of the material, and Bix uses 5.2 pounds of the material. Selling price per unit and variable costs per unit of each product follow. Ite Selling price per unit Variable costs per unit Kin $ 167.60 104.00 $ 112.12 91.00 Bix $198.98 137.00 (a) Compute contribution margin per pound of material for each product. (b) If demand is limited, list the three products in the order in which management should produce and meet demand. Product Contribution Margin Kin Ike Bix Contribution margin per pound Order in which management should produce and meet demand: Cobe Company has manufactured 255 partially finished cabinets at a cost of $63,750. These can be sold as is for $76,500. Instead, the cabinets can be stained and fitted with hardware to make finished cabinets. Further processing costs would be $15,300, and the finished cabinets could be sold for $102,000. (a) Prepare a sell as is or process further analysis of income effects. (b) Should the cabinets be sold as is or processed further and then sold? Sell As Is Process Further (a) Sell or Process Analysis Revenue Costs Income Incremental income (loss) to process further (b) The company should