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Farrow Co. expects to sell 300,000 units of its product in the next period with the following results $4,500,000 Sales (300,000 units) Costs and expenses

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Farrow Co. expects to sell 300,000 units of its product in the next period with the following results $4,500,000 Sales (300,000 units) Costs and expenses Direct materials Direct lisher Overhead Selling expenses Asinistrative wees Total costs and expenses Het Income 600,000 1,200,000 100,000 450,000 771,000 3,121, 51.179.000 docs The company has an opportunity to sell 30.000 additional units at $12 per unit. The additional sales would not affect its current expected sales. Duect materials and labor costs per unit would be the same for the additional units as they are for the regular units However the additional volume would create the following incremental costs (1) total overhead would increase by 16% and (2) administrative expenses would increase by $129.000, Calculate the combined total net income of the company accept the other to sell additional units of the reduced price of $12 per unit, Should the company accept or reject the offer? Complete this question by entering your answers in the tabs below. Net Income Acept of Arject Calculate the combined total net income if the company accept the offer to detectional units at the reduced price of sia Der Unit Nom Volume Adomonat Volume Combine Total

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