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MSTs educational products are currently sold without any supplemental materials. The company is considering the inclusion of instructional materials such as an overhead slide presentation,

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MSTs educational products are currently sold without any supplemental materials. The company is considering the inclusion of instructional materials such as an overhead slide presentation, potential and classroom bulletin board materials for teachers. A summary of the expected costs and revenues for MSI WO options follows questions CD Only 50.000 units CD with Instructional Materials 50,000 units Estimated demand Estimated sales price Estimated cost per unit Direct materials Direct labor Variable manufacturing overhead Food marcturing overhead Unt manufactung ! Additional development cost $ 8.25 Required: 1. Based on the given dan, Compute the increase or decrease in profit that would result instruction materials were added to the CDs. CD Only Co with instruction Materials 2. Should MSI add the instructional materials or sell the CDs without them? Bol the CDs without Instructional Materials Add the instructional Materials 3-. Suppose that the higher price of the CDs with instructional materials is expected to reduce demand to 32,000 units. Complete the table given below based on Requirement and 2 data CD Only with instructions Sales Revenue Variable Costs Contribuson Margin Additional Development Costs Different Pro ( LSS) 3-b. Should MSI add the instruction s or sell the CDs without them? Sell the CDs without instructional Materials Add the Instructional Materials

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