Waterways is thinking of massproducing one of its specialorder sprinklers. To do so would increase unit variable costs for all
sprinklers by an average of $ The company also estimates that this change could increase the overall number of sprinklers
sold by and the average unit sales price would increase $ Waterways currently sells sprinkler units at an
average unit selling price of $ The manufacturing costs are $ variable and $ fixed. Selling and
administrative costs are $ variable and $ fixed.
If Waterways begins massproducing its specialorder sprinklers, how would this affect the company? Round ratio answers to
decimal places, eg and net income answers to decimal places, eg
