Arthritis Company manufactures a state of the art device to monitor arthritis. The company received a special order request for a modified device for a different industry where the technology could be useful. The customer has offered to purchase 25,000 units if the order can be completed within a month of the order. Cost information related to the current scanner is below: Direct Materials Direct Labour (.75 hours at $25 per hour) 25.14 18.75 Variable overhead (.25 machine hours at $17 4.25 Fixed overhead (.25 machine hours at $40 per 10 58.14 D Additional information 21. The current selling price per unit is $75. The customer is offering to buy the device for $68 due to the large quanity they wish to purchase. 32. The current capacity is 30,000 machine hours. Arthritis currently operates at 85% capacity. 4 5 Required a) Calculate the number of regular units sold that would be lost by accepting this special order. 7 b) Calculate the contribution margin per unit on this special order. 0 1 C) Calculate the incremental income/loss from accepting the order. D) Would you recommend accepting the order? Explain why briefly with both qualitative and quantitative factors.