Question 32 3 pts Please use the information below to answer the following questions (Q32 -Q44). Lytton, Inc. manufactures three different motors - A1, B1, and C1. Data on the three motors is presented below: Budget Information: A1 B1 C1 Inventory units, January 1, 2020 1,200 1,500 1,400 Production units in 2020 2,600 2,200 2,500 Units sold in 2020 3,000 2,800 3,200 Production units in 2021 2,800 2,400 2,600 Estimated Inventory units, December 31, 2021 600 500 800 Cost and Production Information: Selling price $320 $330 $280 Unit variable cost $110 $130 $100 Machine-hours per unit 7 8 5 Avoidable fixed costs, if product line is not produced $98,000 $92,500 $88,500 Lytton's production capacity is 41,000 machine-hours per year. Lytton is currently facing a business decision in 2021: Thaico, the Thailand subsidiary of Lytton, currently purchases 3,920 units of a simpler version (A1-N) of A1, from its local supplier at $300 each. If Lytton was to make A1-N, the company estimates that A1-N would result in variable costs of $100 per unit and will require only 5 machine hours per unit to manufacture. Furthermore, Lytton will invest in a new stamping machine solely for the production of A1-N for a fixed cost of $147,000. If Lytton produces 3,920 units for Thaico, t will not produce and sell A1 to compete with Thaico