Edge Company produces two models of its product with the same machine. The machine has a capacity of 176 hours per month. The following information is available. selling price per unit Standard $120 40 Deluxe $ 160 90 1 hour 600 units $ 70 2 hours 200 unite Variable costs per unit Contribution margin per unit Machine hours per unit Maximum unit sales per month Required: $ 80 Required: 1. Determine the contribution margin per machine hour for each model. Product Contribution Margin Contribution margin per unit Standard Deluxe Contribution margin per machine hour 2. How many units of each model should the company produce? How much total contribution margin does this mix produce per month? Hours dedicated to the production of each product Standard Deluxe Total Units produced for most profitable sales mix Contribution margin per unit Total contribution margin 3. Assume the maximum demand for the Standard model is 100 units (not 600 units). How many units of each model should the company produce? How much total contribution margin does this mix produce per month? Hours dedicated to the production of each product Units produced for most profitable sales mix Contribution margin per unit Total contribution margin Standard Deluxe Total JART manufactures and sells underwater markers. Its contribution margin income statement follows. Sales (400,000 units) Variable costs Direct materials Direct labor Contribution Margin Income Statement For Year Ended December 31 Per Unit $ 6.00 Annual Total $ 2,400,000 1.44 576,000 0.36 144,000 0.60 240,000 3.60 1,440,000 0.20 0.15 $3.25 80,000 60,000 Variable overhead Contribution margin Fixed costs Fixed overhead Fixed general and administrative Income $ 1,300,000 A potential customer offers to buy 50,000 units for $3.20 each. These sales would not affect the company's sales through its normal channels. Details about the special offer follow. Direct materials cost per unit and variable overhead cost per unit would not change. Direct labor cost per unit would be $0.54 because the offer would require overtime pay. Accepting the offer would require incremental fixed general and administrative costs of $5,000. Accepting the offer would require no incremental fixed overhead costs. Required: 1. Compute income from the special offer. 2. Should the company accept or reject the special offer? Required: 1. Compute income from the special offer. 2. Should the company accept or reject the special offer? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute income from the special offer. (Round your "Per Unit" answers to 2 decimal places.) Special Offer Analysis Contribution margin Fixed overhead Fixed general and administrative Income (loss) Per Unit Total 0.00 0 $ 0.00 $ Required 1 Required 2 > 0 Direct materials cost per unit and variable overhead cost per unit would not change. . Direct labor cost per unit would be $0.54 because the offer would require overtime pay. Accepting the offer would require incremental fixed general and administrative costs of $5,000. Accepting the offer would require no incremental fixed overhead costs. Required: 1. Compute income from the special offer. 2. Should the company accept or reject the special offer? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Should the company accept or reject the special offer? Should the company accept or reject the special offer?