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Klean Fiber Company is the creator of Y-Go, a technology that weaves silver into its fabrics to kill bacteria and odor on clothing while managing

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Klean Fiber Company is the creator of Y-Go, a technology that weaves silver into its fabrics to kill bacteria and odor on clothing while managing heat. Y-Go has become very popular in undergarments for sports activities. Operating at capacity, the compamy can produce 1.048.000 Y.Go undergarments a year. The per unit and the total costs for an individual garment when the company operates at full capacity areas follows. The U.S. Army has approached Klean Fiber and expressed an interest in purchasing 249,800 Y-Go undergarments for soldiers in extremely warm climates. The Army would pay the unit cost for direct materials, direct labor, and variable manufacturing overhead costs. In addition, the Army has agreed to payan additional $1.10 per undergarment to cover all other costs and provide a proht. Presently, Klean Fiber is operating at 70% capseity and does not have any other potentlal buyers for Y-Go. If Kiean Fiber accepts the Army's offer. it will not incur any variable selling expenses related to this order: Prepare an incremental analysis for the Klean Fiber. (Enter negotive amounts using either a negative sign preceding the number e.s. -45 or parentheses e.g. (45).)

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