Lakeside inc. produces a product that currently sells for $64 per unit Current production costs per unit include direct materials, $17; direct labor, \$19; variable overhead, \$12; and fixed overhead, \$12. Product engineering has determined that certain production changes could refine the product quality and functionalify. These new production changes would increase material and labor costs by 20% per unit, Lakeside has recelved an offer from a nonprofit organization to buy 9,400 units at $49 per unit. Lakeside currently has unused production capacity. Required: a. Calculate the effect on Lakeside's operating income of accepting the order from the nonprofit organization. b. Should Lakeside accept this special sales order? Yes No