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Roadrunner Electronic Gadgets manufactures and sells two types of high quality printers for producing blueprints, the Gee Whiz printer and the Big Blue printer. Attached

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Roadrunner Electronic Gadgets manufactures and sells two types of high quality printers for producing blueprints, the Gee Whiz printer and the Big Blue printer. Attached is the cost and price information for both of these printers. The plant has a capacity of 25,000 direct labor hours, but currently only 22,000 hours are being utilized. The average direct labor hourly rate is $25. REQUIRED: (1) Calculate the following items for the company. (a) Number of hours required to produce each type of printer. (b) Contribution margin per printer. (c) Contribution margin per unit of scarce resource (direct labor hours). Round your answer to the nearest cent. (2) Suppose that a new customer has approached Roadrunner and offered to purchase 60 of the Big Blue printers for $2,800. (a) How many direct labor hours will be required to produce the additional 60 Big Blue printers? (b) How much will the company's profits increase or decrease if the order is accepted? Show supporting calculations. (3) Suppose that a new customer instead has approached Roadrunner and offered to purchase 100 of the Big Blue printers for $3,000. (a) How many direct labor hours will be required to produce the additional 100 Big Blue printers? (b) If the company cannot increase its productive capacity to meet this additional demand, which means it will have to sacrifice sales to existing Big Blue customers, how much will the company's profits increase or decrease if the order is accepted? Show supporting calculations. \begin{tabular}{|l|l|l|l|} \hline (2) & Direct Labor Hours For Order \\ \hline (a) & \multicolumn{3}{|c|}{\begin{tabular}{l} ROADRUNNER ELECTRONIC GADGETS \\ SPECIAL ORDER ANALYSIS \end{tabular}} \\ \hline (b) & \multicolumn{3}{|c|}{} \\ \hline & Revenue From Order & & \\ \hline & Costs of Order: & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline & & & \\ \hline \end{tabular}

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