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Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of

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Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 84.000 units per year is: ebook Direct materiais Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Tixed selling and administrative expenses $1.70 $4.00 50.60 Pent $1.70 53.00 Reference The normal seling price is $26.00 per unit. The company's capacity is 98.400 units per year. An order has been received from a mail order house for 1.200 units at a special price of $23.00 per unit. This order would not affect regular sales or the company's total foed costs Required: 1. What is the financial advantage (disadvantage of accepting the special order? 2. As a separate matter from the special order, assume the company's Inventory includes 1000 units of this product that were produced lost year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales of its current model. What unit cost is relevant for establishing a minimum selling price for these units

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