You have been hired as a consultant on a multi-year basis for a global washer and dryer manufacturer. They currently offer two core washer and dryer sets: a high-end model and an economic model. You are tasked to complete several calculations and present your findings to the company stakeholders.

1.For your first assignment, management has provided the following revenue and cost information:

High-End Set Economical Set Sales price $3,500 per unit $1,000 per unit Labor $875 per unit $250 per unit Materials $1400 per unit $300 per unit Direct fixed costs $25,000 per month $16,500 per month Allocated fixed costs $85,000 per month $85,000 per monthHigh-End Set Economical Set W/D Combo Total Sales $4,700,000 $4,060,000 $880,000 $9,640,000 Labor $(1,250,000) $(1,015,000) $(235,000) $(2,500,000) Materials $(1,885,000) $(1,220,000) $(315,000) $(3,420,000) Direct fixed costs $(325,000) $(220,000) $(250,000) $(795,000) Allocated fixed costs $(650,000) $(650,000) $(650,000) $(1,950,000) Net Income $590,000 $955,000 $(570,000) $975,000