Corrigan Enterprises is studying the acquisition of two electrical component insertion systems for producing its sole product, the universal gismo. Data relevant to the systems follow. Model no. 6754: Variable costs, $17.00 per unit Annual fixed costs, $986,400 Model no. 4399: Variable costs, $11.80 per unit Annual fixed costs, $1,114,400 Corrigan's selling price is $70 per unit for the universal gismo, which is subject to a 10 percent sales commission. (In the following requirements, Ignore income taxes.) 2-a. Calculate the net income of the two systems if sales and production are expected to average 40,000 units per year. Net Income Model No. 6754 Model No. 4399 2-b. Which of the two systems would be more profitable? Model No. 6754 Model No. 4399