Answer both requirements please

Cabin Creek Company is considering adding a new line of kitchen cabinets. The company's accountant provided the following estimated data for these cabinets: Annual sales 800 units Selling price per unit $ 3, 600 Variable manufacturing costs per unit $ 1, 600 Variable selling costs per unit $ 450 Incremental fixed costs per year: Manufacturing $ 485, 400 Selling $ 65, 000 Allocated common costs per year: Manufacturing $ 90, 000 Selling and administrative $ 122, 000 If the kitchen cabinets are added as a new product line, the company expects that the contribution margin earned from selling its other products will decrease by $220,000 per year