Gruden Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 18,600 golf discs is:

Materials		$ 8,556
Labor		29,016
Variable overhead		19,530
Fixed overhead		37,572
Total		$94,674

Gruden also incurs 7% sales commission ($0.49) on each disc sold. McGee Corporation offers Gruden $4.98 per disc for 4,720 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 $37,572 to $43,302 due to the purchase of a new imprinting machine. No sales commission will result from the special order. (a) 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).)

(b) Should Gruden accept the special order?