Could you please include the formula and calculation to solve both part a and b please

Sales $55,200,000 Sales inunils 4,000,000 Cost of goods sold: Variable cost 18,200,000 Fixed cost 24,764,190 Gross prot $12,235,810 Attributable costs: Marketing cost 5,878,800 Design engineering 2,000,000 Other (primarily xed) costs 3,095,993 Product line prot before G&A allocation $1,251,017 Return on sales 2.28% The production. quality and product managers considered their second option to be producing and selling awed units for 6 months while engineers corrected the problem. Under this option, the company would not disclose the problem and hope for the best. 1 Perhaps none of the product claims would involve any injury; only product replacement would be required at a cost of about $12 per unit. a. Adjust the 2017 budget for an assumed defect rate of 25% during the rst 6 months of production. (Note this is a defect rate in addition to the normal rate faced in each year. 2012-2016. which is already accounted for in marketing cost.) b. Adjust the xed production cost for 2017 for an additional $2,000,000 in design