Lakeside Inc. produces a product that currently sells for $$48\mathrm{.}60$

per unit. Current production costs per unit include direct

materials, $$17$; direct labor, $$19$; variable overhead, $$8\mathrm{.}50$; and

fixed overhead, $$8\mathrm{.}50.$ Product engineering has determined that

certain production changes could refine the product quality and

functionality. These new production changes would increase material

and labor costs by $20\%$ per unit.

Required:

a$.$ What would be the incremental profit or loss if

Lakeside could sell the refined version of its product for $$54$ per

unit? $($Round your final answer to $2$ decimal places. Loss

amounts should be indicated with a minus sign.$)$B$.$ Should it be processed further?YesNo