Hilton Cole Sunglasses sell for about $154 per pair. Suppose the company incurs the following average costs per pair (Click the icon to view the cost information.) Hilton Cole has enough idle capacity to accept a one-time-only special order from Washington Glasses for 21,000 pairs of sunglasses at $69 per pair. Hilton Cole will not incur any variable marketing expenses for the order. Read the requirements. Requirement 1. How would accepting the order affect Hilton Cole's operating income? In addition to the special order's effect on profits, what other (longer-term qualitative) factors should Hilton Cole's managers consider in deciding whether to accept Prepare an incremental analysis to determine the special order's effect on operating income. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Total Order (21,000 units) Incremental Analysis of Special Sales Order Decision Per Unit i Data Table - X Revenue from special order Less variable expense associated with the order: Variable manufacturing costs ..........$ Contribution margin Direct materials ..... Direct labor......... Variable manufacturing overhead ..... Variable marketing expenses....... Less: Additional fixed expenses associated with the order Increase (decrease) in operating income from the special order Fixed manufacturing overhead ......... Total cost..... * Requirements * $2,200,000 total fixed manufacturing overhead / 137,500 pairs of sunglasses Print Done Enter any number in the edit 1. How would accepting the order affect Hilton Cole's operating income? In addition to the special order's effect on profits, what other (longer-term qualitative) factors should Hilton Cole's managers consider in deciding whether to accept the order? 2. Hilton Cole's marketing manager, Jim Revo, argues against accepting the special order because the offer price of $69 is less than Hilton Cole's $79 cost to make the sunglasses. Revo asks you, as one of Hilton Cole's staff accountants, to explain whether his analysis is correct. parts 2 remaining Check