Memorial Corporation makes a special-purpose machine, D4H, used in the textile industry. Memorial has designed the D4H machine for 2017 to be distinct from its competitors. It has been generally regarded as a superior machine. Memorial presents the following data for 2016 and 2017. (Click the icon to view the data.) (Click the icon to view additional information.) Read the requirements. Requirement 1. Calculate the operating income of Memorial Corporation in 2016 and 2017 2016 * Requirements Revenues Costs Direct material costs Manufacturing conversion costs 1. Calculate the operating income of Memorial Corporation in 2016 and 2017 2. Calculate the growth, price-recovery, and productivity components that explain the change in operating income from 2016 to 2017 3. Comment on your answer in requirement 2. What do these components indicate? Selling and customer service costs Total costs Operating income Print Done Enter any number in the edit fields and then click Check Answer. Memorial Corporation makes a special-purpose machine, D4H, used in the textile industry. Memorial has designed the D4H machine for 2017 to be distinct from its competitors. It has been generally regarded as a superior machine. Memorial presents the following data for 2016 and 2017. 0 Data Table - X More Info - X 2016 2017 250 260 36,000 $ 37,000 295,000 300,000 7.25 $ 7.75 290 $ 2,407,000 $ 2,436,000 $ 8,300 $ 8,400 110 customers 100 customers $ 1,100,000 $ 990,000 $ 10,000 $ 9,900 1. Units of D4H produced and sold 2. Selling price 3. Direct materials (kilograms) 4. Direct material cost per kilogram 5. Manufacturing capacity in units of D4H 6. Total conversion costs 7. Conversion cost per unit of capacity (row 6 / row 5) 8. Selling and customer-service capacity 9. Total selling and customer-service costs 10. Selling and customer-service capacity per customer (row 9 / row 8) Memorial produces no defective machines, but it wants to reduce direct materials usage per D4H machine in 2017. Conversion costs in each year depend on production capacity defined in terms of D4H units that can be produced, not the actual units produced. Selling and customer-service costs depend on the number of customers that Memorial can support, not the actual number of customers it serves. Memorial has 78 customers in 2016 and 85 customers in 2017. 290 Print Done