Hoover McKnight Sunglasses sel for about 158 per pak. Suppose the company inours the following average costa per pair Hoover Mcknight has enough de capacity to accept a one-time-only special order from Montana Glasses for 23.000 pairs of sunglasses at $97 per pair Hoover McKnighe will not incur any variable marketing expenses for the order Read the Requirement 1. How would accepting the order afect Hoower Backlights operating income? in addition to the special order's eteet on prote, what other longer tem qualitative) factors should hoever Mcknight's managers consider in deciding Prepare an incrementat natyris to determine the special order's efect on operating income. (Ere a for any 2000 balances. Use parentheses or a minus sign to indicate a decrease in operating income from the social order) Total Order Incremental Analysis of Special Sales Order Decision 23.000 units Per Unit Les verbessed with the order Len: Adolf the order nerating income? In addition to the special order's effect on profits what other langer term qual i Data Table Direct materials $ 60 Direct labor 13 10 Variable manufacturing overhead.. Variable marketing expenses Fixed manufacturing overhead. 2 20. 105 Total cost. * $2,000,000 total fixed manufacturing overhead / 100,000 pairs of sunglasses * Requirements 1. How would accepting the order affect Hoover McKnight's operating income? In addition to the special order's effect on profits, what other (longer-term qualitative) factors should Hoover McKnight's managers consider in deciding whether to accept the order? 2. Hoover McKnight's marketing manager, Jim Revo, argues against accepting the special order because the offer price of $97 is less than Hoover McKnight's $105 cost to make the sunglasses. Revo asks you, as one of Hoover McKnight's staff accountants, to explain whether his analysis is correct