Required: 1, Based on the above information, prepare a product profitability statement, using an ABC approach. (8 marks) 2. Compare the ABC results with the results provided by "traditional" product profitability statement provided above. Do you agree with the company's plan to reduce the production of the A-111 and increase production of the C-333 model? What steps would you take to improve overall profitability? (4 marks) 3. The company has the opportunity to manufacture another product. The new product would sell for $29.00. Direct material cost is $6.50 and direct labour would be $4.00 per unit. Annual demand is expected to be 10,000 units. Production would take place in batches of 1,000 units and it would take .4 hours per unit of machine time. Set-up time would be three hours per batch. The number of material movements for this product would be 20 per set-up. Assume the unit rates you have developed in part 1 are valid for this product. Given this information, which products would you recommend Kelowna produce? (4 marks)