II$.$ A business, established to produce and sell golf balls all around the world. In the current period they decided to produce $2\mathrm{.}000\mathrm{.}000$ balls, but the marketing manager reported that they could sell only $1\mathrm{.}200\mathrm{.}000$ balls for $2$ $ each. The costs of the business consist of: $(25$ Pts$)$

Direct Material: $0,35$ $$/$Ball

Direct Labor: $0,22$ $$/$Ball

Variable Factory Overhead: $0,08$ $$/$Ball

Fixed Factory Overhead: $320\mathrm{.}000$ $ Year

Market Commissions Expenses: $0,15$ $$/$Ball

Fixed Marketing and Administration Expense: $120,000$ $ Year

A Japan enterprise offered a proposal to buy $500\mathrm{.}000$ balls for $0,75$ $ each. Discuss if the proposal is acceptable or not. Prepare the Full Costing and Variable Costing Income Statements after having accepted the Japanese Company$$s offer.