A cake shops production process is as follows:

Step	Process	Capacity (lb/hr)
A	Sieve flour in tank A	2400
B	Grind sugar crystals to sugar powder in Grinder B	1500
C	Mix 2 units of flour from A with 1 unit of sugar from B in mixer C	3600
D	Pasteurize milk in tank D	4000
E	Add 2 units of flour and sugar mix from C to 3 units of milk from D and mix it well to form dough	6000
F	Bake Cakes in oven	6400

Note: The capacities are given in lb/hr of local product. For example, capacity of step A = 2400 flour-lb/hr.

1. What is the system capacity in lb/hr of the finished product?

2. If the capacity of the bottleneck is increased by 20%, what is the increase in system capacity (in lb/hr of the finished product)?