(Solved): AudioCables, Incorporated, is currently manufacturing an adapter that has a variable cost of $0.75 p ...

AudioCables, Incorporated, is currently manufacturing an adapter that has a variable cost of

per unit and a selling price of

per unit. Fixed costs are

. Current sales volume is 30,000 units. The firm can substantially improve the product quality by adding a new piece of equipment at an additional fixed cost of

. Variable costs would increase to

, but sales volume should jump to 50,000 units due to a higher-quality product. a. What is the current profit and proposed profit from the sales of AudioCables? Note: Negative amounts should be indicated by a minus sign. \table[[Current profit,],[Proposed profit,]] b. Should AudioCables buy the new equipment? No Yes There is insufficient information provided to answer this question.