Sarasota Company is a leading manufacturer of sunglasses. One of Sarasota's products protects the eyes from ultraviolet rays. An upscale sporting goods store has contacted Sarasota about purchasing 15,300 pairs of these sunglasses. Sarasota's unit manufacturing cost, based on a full capacity of 105,000 units, is as follows: Direct materials $7 Direct labor 6 Manufacturing overhead (60% fixed) 15 Total manufacturing costs $28 Sarasota also incurs selling and administrative expenses of $79,790 plus $3 per pair for sales commissions. The company has plenty of excess manufacturing capacity to use in manufacturing the sunglasses. Sarasota's normal price for these sunglasses is $44 per pair. The sporting goods store has offered to pay $37 per pair. Since the special order was initiated by the sporting goods store, no sales commission will be paid. What would be the effect on Sarasota's income if the special order were accepted? x Sarasota's income will by $1 Bridgeport Rides makes bicycles. It has always purchased its bicycle tires from the Balyo Tires at $11 each but is currently considering making the tires in its own factory. The estimated costs per unit of making the tires are as follows: Direct materials $4 Direct labor $5 Variable manufacturing overhead $2 The company's fixed expenses would increase by $28,360 per year if managers decided to make the tire. (a1) Calculate total relevant cost to make or buy if the company needs 6,720 tires a year. Make Buy Total relevant cost $ (a2) Ignoring qualitative factors, if the company needs 6,720 tires a year, should it continue to purchase them from Balyo or begin to produce them internally? The compan to purchase the tires. should not continue should continue Click if you rk for this question: Open Show Work Sandhill, Inc. produces three types of balloons-small, medium, and large-with the following characteristics: Small Medium Large $10 Selling price per unit $8 $8 Variable cost per unit 2 5 6 Contribution margin per unit $6 $3 $4 Machine hours per unit 1 2.4 3 Demand in units 500 1,040 940 The company has only 2,000 machine hours available each month. the company ake to maximize its otal contribution margin? (Round answers to How many units of each type of balloon sho o decimal places, e.g. 5,275.) Units Small 1 Medium 1 Large 1