C\&A Toys uses two steps to make a toy. Step 1 takes 20 seconds. Step 2 takes 15 seconds. Each step is staffed by one worker, for a total of two workers. Assume wages are a fixed cost and demand is unlimited. Each toy is sold for $20. Material costs are $5 per toy and fixed costs are $500 per hour including the cost of labor. What will be the impact on C\&A's profit per hour if the processing time of step 1 is reduced by 5 seconds? Multiple Choice No impact on profit Cannot be determined 173.7% increase 40.9% increase