The Rosa model of Mohave Corp. is currently manufactured as a very plain umbrella with no decoration. The company is considering changing this product to a much more decorative model by adding a silk-screened design and embellishments. A summary of the expected costs and revenues for Mohave's two options follows: Rosa Umbrella Decorated Umbrella 19,000 units Estimated demand Estimated sales price Estimated manufacturing cost per unit Direct materials Variable manufacturing overhead Direct labor Fixed manufacturing overhead Unit manufacturing cost $ 11.50 19,000 units $ 17.00 $ 28.00 $ 13.50 2.50 5.00 3.50 4.00 $ 19.50 4.00 $ 26.00 $13,000 1.50 Additional development cost Required: 1. Determine the increase or decrease in profit if Mohave sells the Rosa Umbrella with the additional decorations. 2. Should Mohave add decorations to the Rosa umbrella? 3-a. Suppose that the higher price of the decorated umbrella is expected to reduce estimated demand for this product to 17,000 units. Determine the increase or decrease in profit if Mohave sells the Rosa Umbrella with the additional decorations. 3-b. Should Mohave add decorations to the Rosa umbrella? Complete this question by entering your answers in the tabs below. Req 1 Req 2 Req 3A Req 3B Determine the increase or decrease in profit if Mohave sells the Rosa Umbrella with the additional decorations. Sales Revenue Variable Costs Rosa Umbrella Decorated Umbrella Incremental Contribution Margin Additional Development Costs Differential Profit (Loss) Suppose that the higher price of the decorated umbrella is expected to reduce estimated demand for this product to 17,000 units. Determine the increase or decrease in profit if Mohave sells the Rosa Umbrella with the additional decorations. Sales Revenue Variable Costs Contribution Margin Additional Development Costs Differential Profit (Loss) Rosa Umbrella Decorated Umbrella Req 1 Req 2 Req 3A Req 3B Should Mohave add decorations to the Rosa umbrella? OYes No Incremental