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Situation #2 What would the effect be on the Projected Operating Income if you decided to improve your product's quality by buying a raw material that cost 15% more than your current material? January February March Would you recommend this action? Yes No Reasoning/Rationale: 75.8% Materials Desired Ending Inventory Number of Materials per Unit Projected Cost/ Material Unit Beginning Inventory (new business) 8.0 $4.00 0 Sales in Units Sales Revenue Cost of Goods Sold: Gross Profit (Margin) Selling and Administrative (Operating) Expenses Operating Income January February March 20,340 32,178 35,603 $2,440,800.00 $ 3,861,360.00 $ 4,272,360.00 $1,993,320.00 $ 3,153,444.00 $ 3,489,094.00 $ 447,480.00 $ 707,916.00 $ 783,266.00 $ 63,094.00 $ 98,608.00 $ 159,352.00 $ 384,386.00 $ 609,308.00 $ 623,914.00