1. Suppose the Baseball Hall of Fame in Cooperstown, New York, has approached Hobby - Cardz with a special order. The Hall of Fame wishes to purchase 51,000 baseball card packs for special promotional campaign and offers $0.34 per pack, a total of $17,340. Hobby - Cardz's total production cost is $0.54 per pack, as follows: (Click the icon to view the cost information.) Hobby - Cardz has enough excess capacity to handle the special order. Read the requirements? Requirement 1. Prepare a differential analysis to determine whether Hobby - Cardz should accept the special sales order. (Enter decreases to profits with a parentheses or minus sign.) Expected increase in revenues Expected increase in expenses Variable manufacturing cost: packs * Expected (1) in operating income Decision: (2) Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Hobby - Cardz will spend $5,700 to develop this hologram, which will be useless after the special order is completed. Should Hobby - Cardz accept the special order under these circumstances, assuming no change in the special pricing of $0.34 per pack? Start by preparing the analysis with the additional cost for the special hologram. (Enter decreases to profits with a parentheses or minus sign.) Expected increase in revenues Expected increase in expenses: Variable manufacturing cost: packs * Fixed manufacturing costs Expected increase in total expenses Expected (3) in operating income Decision: (4) 1: Data Table Variable costs: Direct materials $ 0.10 Direct labor 0.10 Variable overhead 0.09 0.25 Fixed overhead $ 0.54 Total cost 2: Requirements 1. Prepare a differential analysis to determine whether Hobby - Cardz should accept the special sales order. 2. Now assume that the Hall of Fame wants special hologram baseball cards. Hobby - Cardz will spend $5,700 to develop this hologram, which will be useless after the special order is completed. Should Hobby - Cardz accept the special order under these circumstances, assuming no change in the special pricing of $0.34 per pack? (1) O decrease O increase (2) Accept the special sales order. O Reject the special sales order. (3) O O decrease O increase (4) Accept the special sales order. O Reject the special sales order