Question 2: Rainy-day Printers operates a printing service with a monthly capacity of 2,000 machine hours. Rainy-day has two major product lines: Commercial printing and Literary printing. Data on each of the product lines for January follows: Revenues Variable costs Contribution margin Fixed costs (allocated) Operating income Machine hours required Commercial $ 120,000 42.000 78,000 60,000 $ 18,000 1,500 hours Literary $ 80,000 48,000 32,000 40,000 $ (8,000) 500 hours Total $ 200,000 90,000 110,000 100,000 $ 10,000 2,000 hours The Literary printing line indicates that it wants Rainy-day to do an additional $80,000 worth of printing jobs in February (in addition to its current level). These jobs are identical to the existing business completed for the Literary printing line in January in terms of the amount of variable costs and machine hours required for production. Rainy-day anticipates that the business from Commercial printing will be the same in February as it was in January. Rainy-day can choose to accept as much of the Commercial and Literary printing for February as its capacity allows. Assume that total machine hours and fixed costs for February will be the same as in January. Required: What action should Rainy-day Printers take to maximize its profitability? Show all your calculations