Fatty Footwear received a request for a special order to sell 6,000 units at $15/unit. The products regular selling price is $20; variable costs per unit are $10; fixed costs in total are $3,000,000. Fatty would not have to pay a variable sales commission of $1 per unit on the special order. They would, however, have to acquire a special label machine at a cost of $3,000 for the special order. The label machine would be worthless after using it for the special order. All other fixed costs will remain the same. If Fatty takes on the special order they will lose regular sales of 1,000 units. If Fatty Footwear takes on the special order A. their net increase in contribution margin will be $26,000 B. their net increase in contribution margin will be $23,000 C. their contribution margin percentage (ratio) for the special order will be 33.333%. D. the special label machine will increase variable costs for the special order by $.50/unit Loobster Engine Company manufactures part TE456 used in several of its engine models. Monthly production costs for 1,000 units are as follows: Direct materials $46,000 Direct labor 11,500 Variable overhead costs 34,500 Fixed overhead costs 23,000 Total costs $115,000 It is estimated that 8% of the fixed overhead costs assigned to TE456 will no longer be incurred if the company purchases TE456 from the outside supplier. Loobster Engine Company has the option of purchasing the part from an outside supplier at $97.75 per unit. If Loobster Engine Company accepts the offer from the outside supplier, the monthly avoidable costs (costs that will no longer be incurred) total A. $92,000 B. $93,840 C. $115,000 D. $116,840