E7.6 through E7.9. [The following informadon apoles to the questions displityed below] Morning Sky, incorjorated (MST), manufactures and sells computer games. The compamy has several product lines busied an the age range of the target mathet. MSI sells both individual games as well as packuged sets. All games are in CD format, and some ualize eccessories such as steecing wheels, electronk tablets, and hand controls. To date, MSi hus develeped and manufactured all the CDs iseif as well as the accessonies and packaging for atl of its products The gaming market has traditionally been targeted at teenagers and young aduits, howevec, the incteasing affordability of computers and the incorporation of computer activities into funior high and elementary school curriculums has led to a significant increase in sales to younger childen. MSI has always theluded games for youinger chidfren but now wants to expand its business to capitalize on changes in the industry. The company currently has excess capacity and is orvestigating several possible ways to improve profitability E7-9 (Algo) Anolyzing Sell-or-Process-Further Decision [LO 7-2, 7-6] MSI's educational products currenty are sold whout any supplemental materials. The company is consideng the inclusion of instructional materials such as an overhead slde presentation, potential test quections, and classroom buletin board materials for teachers. A summary of the expected costs and revenues for MSTrs two options follows: Required: Required: 1. Blased on the given data, compute the increase or decrease n profit that would cesult if instructional materials were added to the CDs 2. Should MSt add the incructional materials or sell the CDs whibout them? 3-a. Suppose that the higher price of the CDs wath instructional materials is expected to reduce demand to 22000 unis Complete the table given below based on this scenario. 3.b. Shiould MSi add the instructional materials of sell the CDS without thear? Complete this question by entering your answers in the tabs below. Based on the given data, compute the increase or decrease in profit that would result if instructional materials were added to the CDs. Complete this question by entering your answers in the tabs bedow. Should MSI add the instructional materials or sell the CDs without them? Complete this question by entering your answers in the tabs below. Suppose that the higher price of the CDs with instructional materials is expected to reduce demand to 22,000 units. Complete the table given below based on this scenario. Complete this question by entering your answers in the tabs below. Should MSI sod the instructional materlals or sell the CDs without themy Should MSi add the instructional materials of Sell the Cibs wathoct them