Sixpence Company produces three products: A129, B325 and C782. All three products use the same direct material, BRYN. Unit data for each product is as follows Product B325 A129 C782 $252 $168 $210 Selling Price per unit Variable Cost per unit $72 $45 $81 5k $27 $120 3k DM Conversion cost per unit $84 uantity of BRYN per unit |8k The demand for the company's products far exceeds the direct materials available to produce the products. BRYN cost $9/kg and a maximum of 5kgis available each month. The company must produce a minimum of 200 units of each product per month REQUIRED 1. How many units of each product should the firm produce and sell to maximize income? 2. What is the maximum amount Sixpence would be willing to pay for another 1200kg of BRYN? 3. Identify reasons why the managers cannot be certain that they have accurately estimated the following for each product: selling price, variable costs, machine hours needed per unit, and maximum unit demand per period 4. Discuss how the business risks in Part 2 might affect the managers' production decisions. Sixpence Company produces three products: A129, B325 and C782. All three products use the same direct material, BRYN. Unit data for each product is as follows Product B325 A129 C782 $252 $168 $210 Selling Price per unit Variable Cost per unit $72 $45 $81 5k $27 $120 3k DM Conversion cost per unit $84 uantity of BRYN per unit |8k The demand for the company's products far exceeds the direct materials available to produce the products. BRYN cost $9/kg and a maximum of 5kgis available each month. The company must produce a minimum of 200 units of each product per month REQUIRED 1. How many units of each product should the firm produce and sell to maximize income? 2. What is the maximum amount Sixpence would be willing to pay for another 1200kg of BRYN? 3. Identify reasons why the managers cannot be certain that they have accurately estimated the following for each product: selling price, variable costs, machine hours needed per unit, and maximum unit demand per period 4. Discuss how the business risks in Part 2 might affect the managers' production decisions