4-37. Pricing Decisions Assum (LO 4-1, colm that MTA Sandwiches sells sandwiches for $7.20 each. The cost of each sandwich follows: Materials . . . . Labor 0.45 Fixed overhead ($10,800 per month, 6,000 units per month) . .. 1.80 Total costs per sandwich .............................- $5.85 One of MTA's regular customers asked the company to fill a special order of sandwiches at a selling price of $5.40 each for a fund-raising event sponsored by a social club at the local col- lege. MTA has capacity to fill it without affecting total fixed costs for the month. MTA's gen- eral manager was concerned about selling the sandwiches below the cost of asked for your advice. Required a. Prepare a schedule to show the impact on MTA's profits of providing 400 sandwiches in b Based solely on the data given, what is the lowest price per sandwich at which the special r the addition to the regular production and sales of 6,000 sandwiches per month order can be filled without reducing MTA's profits? special order? c What other factors might the general manager want to consider in setting a price fo (LO