Sherene Nili manages a company that produces wedding gowns. She produces both a custom product that is made to order and a standard product that is sold in bridal salons. Her accountant prepared the following forecasted income statement for March, which is a busy month: Number of dresses Sales revenue Materials Labor Machine depreciation Rent Heat and light Other production costs: Marketing and administration Total costs Operating profit Custom Dresses Standard Dresses 10 $54,000 20 $34,000 $88,000 Total 30 $10,800 $8,800 $19,600 20,800 9,800 30,600 680 380 1,060 5,000 1,200 3,600 8,600 800 2,000 3,600 8,500 $73,960 $14,040 Ms. Nili already has orders for the 10 custom dresses reflected in the March forecasted income statement. The depreciation charges are for machines used in the respective product lines. Machines depreciate at the rate of $1 per hour based on hours used, so these are variable costs. In March, cutting and sewing machines are expected to operate for 1,060 hours, of which 680 hours will be used to make custom dresses. The rent is for the building space, which has been leased for several years at $8,600 per month. The rent, heat, and light are allocated to the product lines based on the amount of floor space occupied. A valued customer, who is a wedding consultant, has asked Ms. Nili for a special favor. This customer has a client who wants to get married in early April. Ms. Nili's company is working at capacity and would have to give up some other business to make this dress. She can't renege on custom orders already agreed to, but she can reduce the number of standard dresses produced in March to 10. Mc Nili word Ince nermanenth the onnortunity to make in the lost production of standard reccse herauce che hat no unicad