Accepting a special order will improve overall net operating income if the revenue from the special order exceeds: Multiple Choice the sunk costs associated with the order. the incremental costs associated with the order. the variable costs associated with the order. the contribution margin on the order. Otool Incorporated is considering using stocks of an old raw material in a special project. The special project would require all 190 kilograms of the raw material that are in stock and that originally cost the company $2.456 in total. If the company were to buy new supplies of this raw material on the open market, it would cost $7 per kilogram. However, the company has no other use for this raw material and would sell it at the discounted price of $6.10 per kilogram if it were not used in the special project. The sale of the raw material would involve delivery to the purchaser at a total cost of $63 for all 190 kilograms. What is the relevant cost of the 190 kilograms of the raw material when deciding whether to proceed with the special project? Multiple Choice O $1.159 O $1,096 O $1.292 O $1,273 Landor Appliance Corporation makes and sells electric fans. Each fan regularly sells for $48. The following cost data per fan is based on a full capacity of 151.000 fans produced each period. Direct materials Direct labor Manufacturing overhead (50% variable and 50% unavoidable fixed) $ 7 $ 9 $ 6 A special order has been received by Landor for a sale of 25.000 fans to an overseas customer. The only selling costs that would be incurred on this order would be $6 per fan for shipping. Landor is now selling 126,000 fans through regular channels each period. Assume that direct labor is an avoidable cost in this decision. What should Landor use as a minimum selling price per fan in negotiating a price for this special order? Multiple Choice O O $23 per fan O $19 per fan $28 per fan O $25 per fan