Mike's Radiator Services specializes in the repair and replacement of radiators for passenger vehicles. Variable and fixed costs related to installation activities for the most recent month January) are listed below 168 Item Number of radiators replaced Variable expenses Direct materials (new radiators) Direct Labour (2 hours per installation) Indirect materials Fixed expenses: Installation supervisor's wages Equipment depreciation Insurance and utilities for garage $80.000 5,000 Bee $15,072 1.98 1.594 Required: 1. Calculate the per unit amounts for each of the variable expense and fixed expense items in January Per Unit $ 500 $ 50 $ 5 Item Variable expenses Direct materials (new radiators) Direct labour (2 hours per installation) Indirect materials Fixed expenses Installation supervisor's wages Equipment depreciation Insurance and utilities for garage $ 99 GA 12 S 9 2 Mike expects that 128 radiators will be installed in February and that this level of activity is within the relevant range for all variable and fixed expenses . & 6-1. Calculate the total expense and per unit amounts for each of the variable and fixed cost items above (Round "per unit" answers to 2 decimal places.) Item February (Total Cost) February Per Unit 5 s 5 500.00 50.00 500 Variable expenses Direct materials (new radiators) Direct labour (2 hours per installation) Indirect materials Fored expenses Installation supervisor's wages Equipment depreciation Insurance and utilities for garage $ 15,87200 $ 1.984.00 $ 1504.00 b-2. Explain any differences in the per unit amounts between January and February I I 3. Which, if any, of the costs shown above would be considered sunk costs? Why