At the end of the year, a company offered to buy 4,180 units of a product from X Company for a special price of $12.00 each instead of the company's regular price of $18.00 each. The following information relates to the 69,600 units of the product that X Company has already made and sold to its regular customers:

	Total	Per-Unit
Revenue	$1,252,800	$18.00
Cost of Goods Sold
Variable	435,696	6.26
Fixed	144,072	2.07
Selling and Administrative Costs
Variable	80,736	1.16
Fixed	100,920	1.45
Profit	$491,376	$7.06

The special order product has some unique features that will require additional material costs of $0.75 per unit and the rental of special equipment for $3,500. 5. Profit on the special order would be____?

6. The marketing manager thinks that if X Company accepts the special order, regular customers will be lost, with demand falling by 950 units. The effect of this loss of sales will be to decrease firm profits by____?