Gruden Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 16,700 golf discs is:

Exercise 26-2 Gruden Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 16,700 golf discs is: Materials Labor Variable overhead Fixed overhead Total $ 8,350 24,883 17,702 32,899 $83,834 Gruden also incurs 6% sales commission ($0.41) on each disc sold. McGee Corporation offers Gruden $4.82 per disc for 5,110 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 $32,899 to $38,779 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. (Round answers to o decimal places, e.g. 5,275. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Reject Order Reject Accept Order Accept Net Income Increase (Decrease) increase Revenues Materials Labor Variable overhead Fixed overhead Sales commissions Net income (b) Should Gruden accept the special order? Gruden should the special order. Click if you would like to Show Work for this question: Open Show Work