Deep Sea manufactures flotation vests in Charleston South Carolina Deep Sea's contribution margin income statement for the month ended October 31, 2024. contains the following data Click the icon to view the cost information) Suppose Overton wishes to buy 4.000 vests from Deep Sea Deep Sea will not incur any variable sing and administrative expenses on the special order. The Deep Seaplant has enough used capacity to manfacture the additional vest Overton has offered 511 per vest, which is below the normal sales price 12 Read the requirements Requirement 1. Identify each cost in the income statement as either relevant or relevant to Deep Sear's decision Variable Manufacturing Costs relevant Variable Soling and Administrative Costs Fixed Manufacturing Costs imrelevant Fixed Selling and Administrative Costs irrelevant Requirement 2. Prepare a diferential analysis to determine whether Deep Sea should accept this specialius ordur. Enter duces to wine or increases to couts with a parents or minus sign) Expected increase in revenue Expected increase in saling and administrative costs Expected decrease in operating income Decision Accept the special order Requirement 3. Identity long-term factors Deep Sea should consider in deciding whether to accept the species onder In addition to determining the special order's effect on operating profits Deep Sea's managers should consider the following O A How wil Deep Sea's competitors react? Wil they retaliate by cutting their prices and starting price war? OB. Will the special order customer come back again and again, aking for the same reduced price? OC Wu Deep Sea's other customers find out about the lower sale price Deep Sea accepted from Overton? Ise, will the other customers demand lower sale prices? D. All of the above O E None of the above Data table 30.000 510.000 Deep Income Statement For the Month Ended Oct. 2004 Sales in Net Sale $ Varicos Manufacturing Setting and Administrative Total Variable Costa Contribution Margin Fixed Costs Manufacturing Selling and Ant Total Fred Goste Operating Income 111.000 201.000 2.000 12.000 5.000 20.000 Print Done