Gyro Company manufactures Products T and W and is operating at full capacity. Manufacturing Product W...

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Gyro Company manufactures Products T and W and is operating at full capacity. Manufacturing Product W requires three times the number of machine hours required for Product T. Market research indicates that 1,000 additional units of Product W could be sold. The contribution margin by unit of product is as follows: Sales price Variable cost of goods sold Manufacturing margin Variable selling and administrative expenses Contribution margin Product T $300 (235) $65 (25) $ 40 Product W $325 (250) $75 (10) $ 65 Determine the increase or decrease in total contribution margin if 1,000 additional units of Product Ware produced and sold. Gyro Company manufactures Products T and W and is operating at full capacity. Manufacturing Product W requires three times the number of machine hours required for Product T. Market research indicates that 1,000 additional units of Product W could be sold. The contribution margin by unit of product is as follows: Sales price Variable cost of goods sold Manufacturing margin Variable selling and administrative expenses Contribution margin Product T $300 (235) $65 (25) $ 40 Product W $325 (250) $75 (10) $ 65 Determine the increase or decrease in total contribution margin if 1,000 additional units of Product Ware produced and sold.

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