Assume instead that the customer requests $95$ units in the special order and offers $$38$ per unit. Novak management still believes

there will be enough capacity to take on the special order. This time, however, variable selling costs will be incurred because the

customer is working through a sales representative. How much better or worse off will Novak Industries be if it accepts this

special order?

Novak Industries would be

by $

by accepting this order.I$\text{'}$m

The management team of Novak Industries was evaluating its performance for the first half of the year. Production and sales of its

were on budget at $3,200$ units to date, with the following income statement reflecting its income for the first half of the year.

Sales

$$256,000$

Variable costs:

Fixed costs:

Orders for the second half of the year were coming in slower than what the company had been expecting. When a new customer called

Assume instead that the customer requests $95$ units in the special order and offers $$38$ per unit. Novak management still believes

there will be enough capacity to take on the special order. This time, however, variable selling costs will be incurred because the

customer is working through a sales representative. How much better or worse off will Novak Industries be if it accepts this

special order?

Novak Industries would be

by $

by accepting this order.ki