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Hitter Corporation produces baseball bats for kids that it sells for $37 each. At capacity, the company can produce 60,000 bats a year. The costs

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Hitter Corporation produces baseball bats for kids that it sells for $37 each. At capacity, the company can produce 60,000 bats a year. The costs of producing and selling 60,000 bats are as follows: (Click to view the costs.) Read the requirements. Requirement 1. Suppose Hitter is currently producing and selling 30,000 bats. At this level of production and sales, its fixed costs are the same as given in the preceding table. Gehrig Corporation wants to place a one-time special order for 30,000 bats at $24 each. Hitter will incur no variable selling costs for this special order. Should Hitter accept this one-time special order? Show your calculations. Determine the effect on operating thcome if the order is accepted. (Enter decreases in operating income with parentheses or a minus sign.) Increase (decrease) in operating income if order is accepted Hitter should Gehrig's special order because it operating income by $ Data table 1. Suppose Hitter is currently producing and selling 30,000 bats. At this level of production and sales, its fixed costs are the same as given in the preceding table. Gehrig Corporation wants to place a one-time special order for 30,000 bats at $24 each. Hitter will incur no variable selling costs for this special order. Should Hitter accept this one-time special order? Show your calculations. 2. Now suppose Hitter is currently producing and selling 60,000 bats. If Hitter accepts Gehrig's offer it will have to sell 30,000 fewer bats to its regular customers. (a) On financial considerations alone, should Hitter accept this one-time special order? Show your calculations. (b) On financial considerations alone, at what price would Hitter be indifferent between accepting the special order and continuing to sell to its regular customers at $37 per bat? (c) What other factors should Hitter consider in deciding whether to accept the one-time special order

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