The Tera Corporation uses multicolor molding to make plastic lamps. (Click the icon to view additional information. (Click the icon to view the cost of a defective unit.) Tera's designers have determined that adding a diffierent type of material to the existing direct materials would result in no defective units being produced, but it would increase the variable costs by $12 per lamp in the molding department. Read the requirements. Requirement 1. Should Tera use the new material? Show your calculations. Start by calculating the relevant costs of using the new material. Determine the formula, then enter the amounts to calculate the relevant costs. More info The molding operation has a capacity of 380,000 units per year. The demand for lamps is very strong. Tera will be able to sell whatever output quantities it can produce at $50 per lamp. Tera can start only 380,000 units into production in the molding department because of capacity constraints on the molding machines. If a defective unit is produced at the molding operation, it must be scrapped at a net disposal value of zero. Of the 380,000 units started at the molding operation, 57,000 defective units (15%) are produced. Data table Requirements 1. Should Tera use the new material? Show your calculations. 2. What nonfinancial and qualitative factors should Tera consider in making the decision