Jake's Jackets manufactures winter jackets sold to retail stores for $80 each. The plant capacity is 200,000 units annually, but normal volume is 150,000 units. Unit and total costs at normal volume are as follows:

Type of Cost	Unit Costs	Total Costs
Direct materials	$25.00	$3,750,000
Direct labor	$20.00	$3,000,000
Manufacturing support	$15.00	$2,250,000
Selling and administrative	$10.00	$1,500,000
Total costs	$70.00	$10,500,000

Fixed manufacturing support costs are $2,500,000, and fixed selling and administrative costs are $1,000,000.

A potential customer offers to purchase 50,000 units at $60 each, with minimal packaging reducing variable selling and administrative costs by 50%.

Required: Assess if Jake's Jackets should accept the special order. Prepare a variable cost analysis to support your decision.