please explain in detail

The Engine Guys produces specialized engines for "snow climber" buses. The company's normal monthly production volume is 9.500 engines, whereas its monthly production capacity is 19,000 engines. The current seling price per engine is $1,350. The cost per unit of nanufacturing and marketing the engines at the normal volume is as follows: Required: Required: Answer the followang independent quesnons. 1.6. The Provincial Bus Company wiches to putchase 750 engines in Ocnaber. The bus cornpany is wilimg to bay a ficed fee of Required: Answer the following independentquestions. 1-0. The Provincial Bus Company wishes to purchase 750 engines in October. The bus company is willing to pay a fored fee of $1,140,000 and reimburse The Engine Guys for all manufacturing costs incurred to manufacture 750 motors. October is a busy month for The Engine Guys, and there are sufficient orders to operate at 100% capacity utilzation. There will be no varlable marketing costs on this government contract. Compute the incremental benefit of the contract. 1-6. Indicate whether the Provincial Bus Company sontact should be accepted. Ym 1-b. Indicate whether the Provincial Bus Company's contract should be accepted. Yes No 2-0. An outside contractor is willing to supply 4.750 engines at a price of 5648 per unit. If the offer is accepted, the company will make 4,750 engines in-house and buy 4,750 engines from the contractor. The company's foced manufacturing costs will decline by 205 and the variable marketing costs per unit on the 4.750 engines purchased will decline by 40%. Calculate the cost in each option. (Do not round intermediate colculations. Leove no cells blank - be certain to enter " O " wherever required.) 2.b. Detemune whethec the contrector s offer should be accepted