QUESTION 1 ANSWER THE FOLLOWING 3 PART HOMEWORK PROBLEMS WITH WORK SHOWN. NO CREDIT GIVEN OTHERWISE Part 1: MEERA 24,000 tons of old inventory in a warehouse that originally cost $26,000 to manufacture. It could be sold as scrap to a buyer in Russia for $32,000 minus transportation cost of $0.30 per ton. Alternatively, the 21,000 tons of old inventory could be sold domestically for $86,000 if it is processed further at an additional cost. Meera processes the old inventory further. This results in an increase in Savalas' net income of $3,500. What is the additional processing cost of the old inventory? Part 2: In a week Meera sells 1,100 pounds of a food item unprepared (raw) for $4.99 per pound. The variable cost of the unprepared (raw) product is $2.40 per pound. Meera is considering whether to cook the product and sell it in its deli department for $11.99 per pound. The variable cost to cook the 1,100 pounds of food in the deli is $5,856 total. Fixed costs are not affected. If Meera cooks the raw product it will lose 10% of the product per week in the preparation process. a) Calculate the increase or decrease in Meera's net income if it cooks the product and sells it in the deli for $11.99 per pound. b) Calculate the cooked (prepared) food price per pound that would eliminate any advantage for selling the cooked product in the deli. Part 3: Bike101 currently sells for $20 per unit with a sales and production volume of 22,000 units, cost of goods sold $710,000 including 37% fixed cost, and selling expenses of $38,000 including 22% fixed costs. The product creates an operating loss of $50,000. All fixed costs will still be paid by the company if Bike101 is discontinued. To maintain sales volume (22,000 units) management knows that the sales price of Bike101 needs to be decreased due to competition. What is the minimum sales price necessary to keep selling Bike101