Exercise 20-2 Gruden Company produces golf discs which it normally sells to retailers for $

Exercise 20-2 Gruden Company produces golf discs which it normally sells to retailers for $6.94 each. The cost of manufacturing 24,600 golf discs is: Materials Labor Variable overhead Fixed overhead ,216 Total $12,792 35,424 25,092 48,216 $121,524 Gruden also incurs 5% sales commission ($0.35) on each disc sold McGee Corporation offers Gruden $5 per disc for 4,500 discs. McGee would sell the discs under its own brand name in foreign markets not yet served by Gruden. If Gruden accepts the offer, its fixed overhead will increase from $48,216 to $54,034 due to the purchase of a new imprinting machine. No sales commission will result from the special order Your answer is partially correct. Try again Prepare an incremental analysis for the special order. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Reject Order Accept Order Net Income Increase Decrease Revenues 225001 22500 Materials 12,792