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Flip manufactures footballs. The forecasted income statement for the year before any special order included sales of $4,000,000(sales price is $10 unit) Manufacturing cost of

Flip manufactures footballs. The forecasted income statement for the year before any special order included sales of $4,000,000(sales price is $10 unit) Manufacturing cost of goods sold is anticipted to be $3,200,000. Selling expenses are expected to be $300,000, and operating income is projected at $500,000. Fixed costs included in thes forecasted amounts are $1,200,000 for manufacturing cost of goods sold and $100,000 for selling expenses. Floozy is offering a special order to buy 50,000footballs for $7.50 each. There will be no additional selling expenses, and sufficient capacity exists to manufacture the extra footballs.

Requirements: Prepare an incremental analysis schedule to demonstrate by what amount would operating income be increased or decreased as a result of accepting the special order.

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