Groovy Tie-dye T-shirts sells its one product, a Tie-dye T-shirt, from a small store front in the Haight Ashbury district of San Francisco. It sells all of its T-shirts at a price of $40 each. The company currently purchases all of its T-shirts from a supplier for $30 per T-shirt. The only current fixed cost that the company has is the rent on the small store in the amount of $2,500 per month. The current number of Tie-dye T-shirts sold monthly is 500. The owner of Groovy Tie- dye T-shirts, Johnny Love has been approached by a member of a local Classic Rock band that wants to purchase 100 Tie-dye T-shirts which the band would then sell at their upcoming concert. The price that the band is willing to pay is $34.00 per T-shirt. The band wants their logo added to the shirts which will cost Groovy. Tie-dye T-shirts an additional cost of $2.00 per shirt that they purchase from their supplier. Groovy Tie-dye T-shirts has been able to sell all of the 500 shirts that it receives from their supplier and the supplier has advised that they cannot supply the company anymore than the 500 T-shirts. Required: 1) What is the finacial impact if the Special Order is accepted? Show your calculations and label your result: 2) State whether Johnny Love should accept or decline the special order from the band and explain why. Are there any other factors he should consider in his decision? 5 27 28 (Bonus of 1 point) Would your answer be different if the band was a Country Western Bland? Explain why. 12 13