Working Office Pty Ltd manufactures and sells two types of filing cabinets, Large and Small. Large Small Unit Selling Price $100.00 $60.00 Unit Variable cost $60.00 $30.00 The same machine is used to manufacture the large and small filing cabinets. Machine capacity is 120 hours per month. The large cabinet requires 15 minutes of machine time per unit while the small requires 20 minutes of machine time per unit Calculate the unit contribution margin for each unit (1 marks) What is the optimum production schedule to maximise profits? (2 marks) In addition to machine time, 300 hours of skilled labour are available per month. Large require 45 minutes per unit and Small requires 30 minutes per unit. Taking account of both machine and labour constraints, what is the optimum production schedule? (4 marks) Tom Morrow is responsible for purchasing the rolling components required in the filing cabinets. These rollers are becoming hard to source due to supply shortages. The company uses 9,730 boxes per year. The cost of each box of rollers is $25.00 and the inventory carrying cost is estimated to be 10% of the cost of each box. Tom has calculated that the average ordering cost is $1.85 per order. Furthermore it takes 2 weeks or the order to arrive, and during this time the demand per week is approximately 80 boxes. What if the Economic Order Quantity (EOQ)? (4 marks) What is the total annual inventory cost? (4 marks)