Exercise 21.3(Static) Incremental Analysis Accepting a special order LO21-1 LO21- 2 LO21-3. Olson manufactures and sells 5000 gun cabinets each month a principal component part in each cabinet is a lock mechanism to keep them secure . Olson's plant currently has the monthly capacity to produce 8000 lock mechanisms the cost of manufacturing these mechanisms at full capacity are as follows: Variable per unit: Direct materials $14. Direct labor 12. Variable manufacturing overhead 4. Fixed cost per month: Fixed manufacturing overhead $10,000. Security cases has offered to buy 3,000 lock mechanisms per month from Olson for use in its fire proof cases. Compute the following: a . The average unit cost of manufacturing each lock mechanism assuming that Olson manufacturers only enough locks for its cabinets. b. The incremental unit cost of producing on additional lock mechanisms. c. The per unit sales price that Olson should charge to earn 12,000 in monthly pretax profit of sales made to security cases. a. average per unit manufacturing cost? b. Incremental unit cost? c . unit sales cost