During the year, X Company produced and sold 67,300 units of one of its products. The following is the related revenue and cost information:

Revenue			$1,211,400
Cost of goods sold			561,955
Selling and administrative costs			302,177
Profit			$347,268

Total variable cost of goods sold were $424,663, and total variable selling and administrative costs were $203,246.

At the end of the year, a company offered to buy 4,190 units but was only willing to pay $12.00 each.

4. If X Company had accepted the special order, firm profits would have increased by

A: $5,321

B: $7,715

C: $11,187

D: $16,222

E: $23,521

F: $34,106

5. There is concern that regular customers will find out about the special order, and in order to retain all of the X Company's regular customers, the regular selling price would have to be reduced by $0.50. If the selling price were reduced and next year's unit sales turn out to be the same as this year's sales, firm profits would fall by

A: $13,783

B: $17,229

C: $21,536

D: $26,920

E: $33,650

F: $42,062