Suppose that during 2017, the market for Melissa's special purpose machines grew by 5% All increases in market share (that is, sales increases greater than 5%) are the result of Melissa's strategic actions Melissa Corporation makes a special-purpose machine, D4H, used in the textile industry. Melissa has designed the D4H machine for 2017 to be distinct from its competitors. It has been generally regarded as a superior machine. Melissa presents the following data for 2016 and 2017 Click the icon to view the data) Click the icon to view additional information.) Read the requirement Calculate how much of the change in operating income from 2016 to 2017 is due to the industry market size factor Begin by selecting the formula you will use. Then enter the amounts and calculate the change in operating income due to the industry-market-size factor Determine whether the amount has a favorable effect on operating income or unfavorable effect (Round your answers to the nearest whole number. Label the variance as favorable (F) or unfavorable (U)) Foot Unit increase Page Change in operating income due to industry-market size Growth component from market size Total unit increase = 829850 x 019.Ge -form Project Choose from any list or enter any number in the input fields and then click Check Answer Check Answer Clear All par breman to view additional information.) th of the change in Requirement the formula you wil mt has a favorable favorable (U).) ry-marke mber. La Calculate how much of the change in operating income from 2016 to 2017 is due to the industry-market-size factor, product differentiation, and cost leadership. How successful has Melissa been in implementing its strategy? Explain. onent X Print Done any list or enter any number in the input fields and then click Check Answer. Clear All Chech Data Table The company has chosen a product differentiation strategy. The growth, price- recovery and productivity components of the change in operating income from 2016 to 2017 are as follows: Revenue effect of growth $ 1,100,000 F 207,144 U Cost effect of growth 892,856 F Change in operating income due to growth le Revenue effect of price recovery $ 540,000 176,296 363,704 c Cost effect of price recovery Change in operating income due to price recovery 233,940 Change in operating income due to productivity Print Done any number in the input fields and then click Check Answer. Clear All stry Melissa has designed the D4H machine for 2017 10 titors It has be ents the following Click the icon to Data Table Click the icon to late how much clor varian by selecting the her the amount able (F) or unfall 1 Units of D4H produced and sold 2 Selling price 3. Direct materials (kilograms) 4. Direct material cost per kilogram 5. Manufacturing capacity in units of D4H 6. Total conversion costs 7. Conversion cost per unit of capacity (row 6 / row 5) 8. Selling and customer service capacity 9 Total selling and customer service costs 10. Selling and customer service capacity per customer (row 9/row 8) 2016 2017 245 270 44,000 $ 46,000 290,000 295,000 7.00 $ 7.50 290 290 $ 2,407,000 $ 2,436,000 $ 8,300 $ 8,400 125 customers 120 customers $ 1,250,000 $ 1,188,000 $ 10,000 S 9,900 rowth compond 829856 Print Done se from any list or enter any number in the input fields and then click Check Answer Clear All Check Ans arts emaining