Please answer following question with explanation. Thank you

AutoSave O OFF A A . G ... Assignment 4 (2022-23) Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Arial v 12 AA ab Wrap Text General Insert v Ex AY- O. Ex Delete Paste BIUV DV Av Merge & Center v $ ~ % " Conditional Format Cell Sort & Find & Analyze Sensitivity Formatting as Table Styles Format v Filter Select Data C15 4 X V fx B. promote those products having the highest contribution margin ratios. B D E F G H K L M N Q Question 1 (1 mark each) Part A Costs that are always relevant in decision-making are: A. future costs. B. avoidable costs C. sunk costs. D. fixed costs. Part B To maximize total contribution margin, a firm faced with a production constraint should: A. promote those products having the highest unit contribution margins 15 B. promote those products having the highest contribution margin ratios 16 C. promote those products having the highest contribution margin per unit of constrained resource. D. promote those products having the highest contribution margins and contribution margin ratios. 18 19 20 Part C A study has been conducted to determine if one of the departments in Parry Company should be discontinued. The contribution margin in the department is $40,000 per year. Fixed expenses charged to the department are $65,000 per year. It is estimated that $30,000 of these fixed expenses could be eliminated if the department is discontinued. These data indicate that if the department is discontinued, the company's overall net operating income 21 would: A. decrease by $10,000 per year. B. increase by $10,000 per year. C. decrease by $15,000 per year. D. increase by $15,000 per year. 26 27 28 Part D Lusk Company produces and sells 15,000 units of Product A each month. The selling price of Product A is $20 per unit, and variable expenses are $14 per unit. A study has been made concerning whether Product A should be discontinued. The study shows that $70,000 of the $100,000 in fixed expenses charged to Product A would continue even if the product were discontinued. These data indicate that if Product A is discontinued, the company's overall net 29 operating income would 30 A. increase by $10,000 per month. 31 B. decrease by $20,000 per month. Instructions Question 1 Question 2 Question 3 Question 4 Assessment Criteria + Ready Accessibility: Investigate + 100%AutoSave O OFF ~ A . G ... Assignment 4 (2022-23) Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Arial v 12 AA ab Wrap Text General Insert v Ex AY- O. Ex Delete Paste DVAv E E Merge & Center v $ ~ % " Conditional Format Cell Sort & Find & Analyze BIUVV Sensitivity Formatting as Table Styles Format v Filter Select Data C55 X V fx Variable cost per unit A B C D E F G H L M N 0 Q 28 Part D Lusk Company produces and sells 15,000 units of Product A each month. The selling price of Product A is $20 per unit, and variable expenses are $14 per unit. A study has been made concerning whether Product A should be discontinued. The study shows that $70,000 of the $100,000 in fixed expenses charged to Product A would continue even if the product were discontinued. These data indicate that if Product A is discontinued, the company's overall net 29 operating income would 30 A. increase by $10,000 per month. 31 B. decrease by $20,000 per month. 32 C. increase by $20,000 per month 33 D. decrease by $60,000 per month. 34 35 36 Part E Green Company produces 2,000 parts per year, which are used in the assembly of one of its 37 products. The unit product cost of these parts is: 38 39 Variable manufacturing cost $12 40 Fixed manufacturing cost Unit product cos $21 The part can be purchased from an outside supplier at $20 per unit. If the part is purchased from the outside supplier, two thirds of the fixed manufacturing costs can be eliminated. The annual impact on the company's net operating income as a result of buying the part from the outside supplier would be: A. $2,000 increase 45 B. $2,000 decrease. 46 C. $4,000 decrease. 47 D. $4,000 increase. 48 49 50 Part F 51 Manico Company produces three products-X, Y, & Z-with the following characteristics: 52 53 X 54 Selling price per unit $20 100% $16 100% $15 100% 55 Variable cost per unit 12 60% 12 75% 40% 56 Contribution margin per unit $8 40% $4 25% $9 60% Instructions Question 1 Question 2 Question 3 Question 4 Assessment Criteria + Ready Accessibility: Investigate + 100%AutoSave O OFF ~ A . G ... Assignment 4 (2022-23) Home Insert Draw Page Layout Formulas Data Review View Tell me Share Comments Insert v Arial v 12 AA = ab Wrap Text General Ex AY- O. Ex Delete $ ~ % 9 Conditional Format Cell Sort & Find & Analyze Sensitivity Paste BIU BY DV Av E E Merge & Center Formatting as Table Styles Format v Filter Select Data C84 4 fx C D E F G H 1 K L M N Q A B 48 49 50 Part F 51 Manico Company produces three products-X, Y, & Z-with the following characteristics: 52 53 X Z 54 Selling price per unit $20 100% $16 100% $15 100% 55 Variable cost per unit 12 60% 12 75% 40% Contribution margin per unit $8 40% $4 25% $9 60% 56 51 31 57 Machine hours per unit 58 The company has only 2,000 machine-hours available each month. If demand exceeds the company's capacity, in what sequence should orders be filled if the company wants to 59 maximize its total contribution margin? 60 A. Orders for Z first, X second, and Y third. B. Orders for X first, Z second, and Y third C. Orders for Y first, X second, and Z third. 63 D. Orders for Z first and no orders for X or Y. 64 66 67 68 78 80 84 Instructions Question 1 Question 2 Question 3 Question 4 Assessment Criteria + + 100% Ready Accessibility: Investigate