Required information [The following information applies to the questions displayed below] Burchard Company sold 25,000 units of its only product for $20.00 per unit this year. Manufacturing and selling the product required $280,000 of fixed costs. Its per unit variable costs follow. For the next year, management will use a new material, which will reduce direct materials costs to $1,50 per unit and reduce direct labor costs to $1.00 per unit. Sales, total flxed costs, variable overhead costs per unit, and variable selling and administrative costs per unit will not change. Management is also considering raising its selling price to $24.00 per unit, which would decrease unit sales volume to 23,750 units. Required: 1. Compute the contribution margin per unit from (a) using the new material and (b) using the new material and increasing the selling price. Note: Round your answers to 2 decimal places. The following information applies to the questions disployed below) Burchard Company sold 25,000 unts of its only product for $2000 per unit this year. Manufoctiring and selling the product required $280,000 of fired costs: its per unit variable costs follow. For the next year, managersent will use a new material, which will reduce direct mbteriais costs to $1.50 per unit and reduce direct lobor costs to $1,00 per unit Sales, total fowed costs, variable overthead costs per unit, and variablo selling and administrative costs per unit will not change. Management is also considering rasing as selting price to $24.00 per unit, which would docrease unit sales volume to 23,750 units. 2. Prepare a contribution margin income statement for next year with two columns showing the expected results of (o) using the new nateriat and (o) using the new material and increasing the selling price