3 Alpine Luggage has a capacity to produce 400,000 suitcases per year. The company is currently producing and selling 320,000 units per year at a selling price of $399 per case. The cost of producing and selling one case follows: 24 Dots Variable manufacturing costs Fixed manufacturing costs Variable selling and administrative costs Fixed selling and administrative costs Total costs 5161 39 33 21 5304 tock Pafcruncos The company has received a special order for 40,000 suitcases at a price of $249 per case. It will not have to pay any sales commission on the special order, so the variable selling and administrative costs would be only $49 per suitcase. The special order would have no effect on total forced costs. The company has rejected the offer based on the following computations Selling price per case Variable manufacturing costs Fixed manufacturing costs Variable selling and sonnistrative costs Fixed selling and administrative costs et profit (los) per case 5249 161 39 42 21 5 (21) Required: a. What is the impact on profit for the year if Alpine accepts the special order? (Enter your answers in thousands of dollars. Select option "higher" or "lower", keeping Status Quo as the base Select "none" if there is no effect.) (All reventies and costs in 50001 Status Quo Alternative 320,100 Units 360,000 Units Difference Sales revenue Variable costs Manufacturing Selling and administrative Contribution margin Forced costs Operating profit b. Do you agree with the decision to reject the special order? Yes No