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Larkin Company produces golf discs which it normally sells to retailers for $6 each. The cost of manufacturing 25,000 golf discs is 10,000 30,000 Materials

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Larkin Company produces golf discs which it normally sells to retailers for $6 each. The cost of manufacturing 25,000 golf discs is 10,000 30,000 Materials Labor Variable overhead20,000 Fixed overhead 40,000 Total s 100,000 Larkin also incurs 5% sales commission ($0.30) on each disc sold. Rudd Corporation offers Larkin $4.25 per disc for 3,000 discs Rudd would sell the dises under its own brand name in foreign markets not yet served by Larkin I Larkin accepts the offer, its fixed overhead will increase from $40,.000 to $43,000 due to the purchase of a new imprinting machine. No sales commission will result from the special order Prepare an incremental analysis for the special order. (Enter negat Do not leave any field blank. Enter O for the amounts) ive amounts using either a negative sign preceding the number es -45 or parentheses es 45) r Accept Order Net Income Effect Reject Order

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