On your second day, your carpet supplier from the United Kingdom gives you a call and needed some help. The supplier works in a country where the Minimum wage increased from $10 to E14 and due to Brexit, cost of material increased by 15% The Supplier asked for a 40% increase in price that includes shipping. 1. What would you tell them and what is the highest Price you are willing to accept in USD? (25) (If you show proof of work, you will get partial marks if the final answer is incorrect) Supplier Break Down before any increase : Material E4, Overhead E10, Tooling E2, , SG&A E11, Shipping $10, Profit 15%, Useful Information: 1 British Pound = 1.33 USD 2. A month later, due to a change in labor laws in that county, the workers are unionized and the cost of non-value added activities increased. This causes the Overhead to go up to $15. The supplier wants to keep up the good relationship with Airbus and stated that they will keep the purchase price that was negotiated earlier. As an intern with supply chain knowledge, what would you tell the purchasing decision maker? What effect would this have on the Total supply chain? (15)