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Ashley Speer Sunglasses sell for about $151 per pair. Suppose that the company incurs the following average costs per pair: III (Click the icon to
Ashley Speer Sunglasses sell for about $151 per pair. Suppose that the company incurs the following average costs per pair: III (Click the icon to view the cost information.) order. Read the requirements. consider in deciding whether to accept the order? Prepare the analysis to determine the effect on operating income. (Enter decreases to profits with a parentheses or minus sign.) Expected increase in revenues Expected Increase in expenses Expected in operat Requirements 1. How would accepting the order affect Ashley Speer's operating income? In addition to the special order's effect on profits, what other (longer-term qualitative) factors should Ashley Speer's managers consider in deciding whether to accept the order? 2. Ashley Speer's marketing manager, Peter Root, argues against accepting the speclal order because the offer price of $84 is less than Ashley Speer's $91 cost to make the sunglasses. Root asks you, as one of Ashley Speer's staff acoountants, to explain whether his analysis is correct. What would you say
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