Gruden Company produces golf discs which it normally sells to retailers for $ 7 each. The cost of manufacturing 19,500 golf discs is: $ 8.775 30,225 Materials Labor Variable overhead Fixed overhead Total 19,305 38,415 $ 96,720 Gruden also incurs 8% sales commission ($ 0.55) on each disc sold. McGee Corporation offers Gruden $ 477 per disc for 4.920 discs. McGee would sell the discs under its own brand name in foreign markets not yet served by Gruden. 11 Gruden accepts the offer, its fixed overhead will increase from $ 38,415 to $ 44.725 due to the purchase of a new imprinting machine. No sales commission will result from the special order Prepare an incremental analysis for the special order. (Round answers to decimal places, eg. 1250. Enter negative amounts using either negative sign preceding the number eg. -45 or parentheses eg. (45).) Reject Order Accept Order Net Income Increase (Decrease) Revenues 0 $ $ 23520 23520 Materials 0 -2205 -2205 -7595 -7595 Labor 0 -4851 -4851 Variable overhead -6310 -6310 Fixed overhead 0 0 Sales commissions 0 0 Fixed overhead -6310 -6310 0 Sales commissions 0 0 $ 0 $ 2559 Net income WA 2559 (b) Should Gruden accept the special order? Gruden should accept the special order