Baird Company makes and sells lawn mowers for which it currently makes the engines. It has...

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Baird Company makes and sells lawn mowers for which it currently makes the engines. It has an opportunity to purchase the engines from a reliable manufacturer. The annual costs of making the engines are shown here. Cost of materials (13,900 units $23) Labor (13,900 units x $13) Depreciation on manufacturing equipment* Salary of supervisor of engine production Rental cost of equipment used to make engines Allocated portion of corporate-level facility-sustaining costs Total cost to make 13,900 engines *The equipment has a book value of $94,000 but its market value is zero. Required $ 319,700 180,700 42,000 76,000 16,000 79,000 $ 713,400 a. Determine the maximum price per unit that Baird would be willing to pay for the engines. b. Determine the maximum price per unit that Baird would be willing to pay for the engines, if production increased to 18,550 units. Note: For all requirements, round intermediate and final answers to 2 decimal places. a. Maximum price per unit b. Maximum price per unit Baird Company makes and sells lawn mowers for which it currently makes the engines. It has an opportunity to purchase the engines from a reliable manufacturer. The annual costs of making the engines are shown here. Cost of materials (13,900 units $23) Labor (13,900 units x $13) Depreciation on manufacturing equipment* Salary of supervisor of engine production Rental cost of equipment used to make engines Allocated portion of corporate-level facility-sustaining costs Total cost to make 13,900 engines *The equipment has a book value of $94,000 but its market value is zero. Required $ 319,700 180,700 42,000 76,000 16,000 79,000 $ 713,400 a. Determine the maximum price per unit that Baird would be willing to pay for the engines. b. Determine the maximum price per unit that Baird would be willing to pay for the engines, if production increased to 18,550 units. Note: For all requirements, round intermediate and final answers to 2 decimal places. a. Maximum price per unit b. Maximum price per unit