A company typically sells its product for $70 per unit. The company has capacity to produce 100,000 units per year, but is currently operating at 82,000. The company has an opportunity to accept a one time order from an international buyer for 15,000 units, but the buyer is only able to pay $40 per unit. The companys unit costs at 82,000 units of production are $20 for direct materials, $6 for direct labor, $9 for variable manufacturing overhead, $11 for fixed manufacturing overhead, and $8 for variable selling and administrative costs. The company will not incur any variable selling and administrative costs for the order.

1. What would be the impact on profit if the company accepts the special order?

2. Considering the facts of question 2 and considering only the quantitative aspects of the decision, what is the minimum price at which the company should accept the special order?

3. Considering the facts of question 2 and considering only the qualitative aspects of the decision, what is the minimum price at which the company should accept the special order?

4. What are two qualitative factors that should be considered in this decision?