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Blossom Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 15,000 golf discs is: Materials $ 6,750

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Blossom Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 15,000 golf discs is: Materials $ 6,750 Labor 21,000 Variable overhead 14,250 Fixed overhead 29.250 Total $ 71.250 Blossom also incurs 4% sales commission ($ 0.28) on each disc sold. McGee Corporation offers Blossom S 4 80 per disc for 4 500 discs. McGee would sell the discs under its own brand name in foreign markets not yet served by Blossom. If Blossom accepts the offer, it will incur a one-time fixed cost of $4,500 due to the rental of an imprinting machine. No sales commission will result from the specialorder Assume there is sufficient capacity to accommodate the Special order (a) Prepare an incremental analysis for the special order (Enter negative amounts using either a negative sin preceding the number ez. 45 or parentheses 3. (451) Prepare an incremental analysis for the special order. (Enter negative amounts using either a negative sign preceding the number eg, -45 or parentheses eg. (45)) Reject Order Accept Order Net Income Increase (Decrease) Revenues 0 21600 21600 Materials O 2025 i 2025 i Labor 0 6900 6300 0 Variable overhead 4275 4275 Cost of equipment rental o 0 $ Net income 4500 $ 4500

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