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CALCULATOR PRINTER VERSION BLACK Challenge Exercise 7-1 Conklan Company manufactures outdoor fireplaces. For the first 9 months of 2020, the company reported the following operating

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CALCULATOR PRINTER VERSION BLACK Challenge Exercise 7-1 Conklan Company manufactures outdoor fireplaces. For the first 9 months of 2020, the company reported the following operating results while operating at 80% of plant capacity Sales (79,900 units) $7,111,100 Cost of goods sold 5,093,625 Gross profit 2,017,475 Operating expenses 799,000 Net income $1,216,475 Cost of goods sold was 80% variable and 20% fixed; operating expenses were 70% variable and 30% fixed. In October, Conklan Company receives a special order for 4,200 fireplaces at $61 each from Langston's Landscape Company. Acceptance of the order would result in an additional $7,600 of shipping costs but no increase fixed operating expenses Prepare an incremental analysis for the special order. (Enter foss using either a negative sign preceding the number a... -2,945 or parenthesese. (2,945).) Net Income Reject order Accept order Increase (Decrease) Revenues Costa of Goods Sold Operating Expenses Shipping Expenses Net Income Should Conklan Company accept the special order? Why or why not? its income is with this order Should Concien Company accept the special order? Why or why not? its income is with this order Before Conkian could give Langton's Landscape Company an answer, they received a special order from Benson Building Supply for 14,600 fireplaces Benson is willing to pay $64 per fireplace but they want a special design imbedded into the fireplace that increases cost of goods sold by 568,620. The special design also requires the purchase of a part that costs $4.800 and will have no ture use for Canklan Company, Benson Building & Supply will pick up the fireplaces so no wipping costs are involved. Due to capacity limitations, con la cannot accept both special orders. Which order should be accepted? Document your decision by preparing an incremental analysis for Benson's order (Enter loss using either a negative sin preceding the number. 2,945 or parentheses es. (2,045)) Net Income Reject order Accept order Increase (Decrease) Revenues Cost of Goods Sold Operating Expenses Unique part Net Income Concian should accept the order from . Click if you would like to show Work for this questioni Open Show Work

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