Homestead Jeans Co. has an annual plant capacity of 63,600 units, and current production is 42,300 units. Monthly fixed costs are $50,100, and variable costs are $30 per unit. The present selling price is $43 per unit. On November 12 of the current year, the company received an offer from Dawkins Company for 18,900 units of the product at 531 each. Dawkins Company will market the units in a foreign country under its own brand name. The additional business is not expected to affect the domestic selling price or quantity of sales of Homestead Jeans Co. Labels Cash flows from operating activities Required: Costs a. Prepare a differential analysis dated November 12 on whether to reject (Alternative 1) or accept (Alternative 2) the Dawkins order. Refer to the Amount Descriptions lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter Cash payments for merchandise subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, enter "O". A colon () will automatically appear if Cash received from customers required. Income (loss) b. Briefly explain the reason why accepting this additional business will increase operating income. Revenues c. What is the minimum price per unit that would produce a positive contribution margin? Variable manufacturing costs a. Prepare a differential analysis dated November 12 on whether to reject (Alternative 1) or accept (Alternative 2) the Dawkins order. Refer to the lists of Labels and Amount Descriptions for the exact wording of the answer choices for text entries. For those boxes in which you must enter subtracted or negative numbers use a minus sign. If there is no amount or an amount is zero, enter "0". A colon (1) will automatically appear if required. Differential Analysis Reject (Alternative 1) or Accept (Alternative 2) Order November 12 Differential Effect 1 Reject Order Accept Order on Income 2 (Alternative 1) (Alternative 2) (Alternative 2) 3 4 (Label) 5 6 b. Briefly explain the reason why accepting this additional business will increase operating income. Having unused capacity available is to this decision. The differential revenue is than the differential cost. Thus, accepting this additional business will result in a net Less / More relevant irrelevant c. What is the minimum price per unit that would produce a positive contribution margin? $