Exercise 21-17 Tharp Company operates s smalil factory in which I t manufactures two products: C and D.Production and sales results for last year were as follows 9,000 19,800 Units sold Selling price per unit $94 $75 Variable cost per unit 49 41 Fixed cost per unit 20 20 for purposes of simplicity, the frm averages total fixed costs over the total number of units of Cand D produced and sold of E next year at a price of $115; the The research department has developed a new product e) as a replacement for product o. Market studies show thet Tharp Company could sel 11,000 units of E next year at a price of $115, the nuation of product D. If the compary does not introduce the new un t of E is so. The introkctor o produ Ew a lead to a 11% increase in demand for product C and discont variable cost pe product, it expects next year's results to be the same as last years Compute company profit with products C&D and with products C& Net profit with products C& D Net profit with products C&E Should Tharp Company introduce product E next year