Link back to Chapter 19. Wave Electronics is a contract manufacturer that produces cus- tomized computer components for several well-known computer-assembly companies. Wave's latest contract with CompNow.com calls for Wave to deliver sound cards that simulate surround sound from two speakers. Wave Electronics spent several hundred thousand dollars to design the sound card to meet CompNow.com's specifications. Wave Electronic's president Angie Harrison has stipulated a pricing policy that requires bids (selling prices) for new contracts to be based on Wave's estimated full product cost from all elements of the value chain, plus a profit margin. Upon reviewing the contract figures. Wave's controller Lilian Gomez was startled to find that the cost estimates developed by Wave's cost accountant Anthony Haywood for the CompNow.com bid were based on only the inventoriable costs. Gomez is upset with Haywood. She is not sure what to do next. Required 1. How did using inventoriable cost rather than full product cost affect the amount of Wave's bid for the CompNow.com job? 2. Identify the parties involved in Lilian Gomez's ethical dilemma. What are her alterna- tives? How would each party be affected by each alternative? What should Gomez do next?