1. Beacom Volleyballs, Inc. is an internationally renowned manufacturer of volleyballs. For Beacoms standard product line, the following per unit data applies for capacity of 20,000 units:

	Per unit
Selling Price	$ 18.00
Direct Materials	$ 6.00
Direct Labor	$ 3.00
Variable Overhead	$ 2.00
Fixed Overhead	$ 3.00
Variable Selling Expense	$ 1.00
Fixed Selling Expense	$ 2.00

Beacom Volleyballs, Inc. receives an offer to buy 1,500 units at a price of $15 per unit. The purchase will not incur any variable selling expenses, but in order to fill the order, Beacom will have to pay for a special screen printing machine for an embossed logo, and this will cost $5,000. Should Beacom accept the offer? Assume Beacom Volleyballs, Inc. has excess capacity.