6. The Arthur Company manufactures kitchen utensils. The company is currently producing well below its full capacity. The Benton Company has approached Arthur with an offer to buy 24,000 utensils at $0.85 each. Arthur sells its utensils wholesale for $0.95 each; the average cost per unit is $0.91, of which $0.13 is fixed costs. If Arthur were to accept Benton's offer, what would be the increase in Arthur's operating profits?

5. The following information relates to the Jasmine Company for the upcoming year: Sales

	Amount				Per Unit
Sales	$	8,480,000			$	68.00
Cost of goods sold		6,784,000				40.00
Gross margin		1,696,000				28.00
Operating expenses		960,000				7.50
Operating profits	$	736,000			$	20.50

The cost of goods sold includes $2,289,600 of fixed manufacturing overhead; the operating expenses include $281,600 of fixed marketing expenses. A special order offering to buy 74,000 units for $19.80 per unit has been made to Jasmine. Fortunately, there will be no additional operating expenses associated with the order; however, Jasmine is operating at full capacity. How much will operating profits increase if Jasmine accepts the special order?