LHoltrop Corporation has received a request for a special order of 9,000 units of product Z75 for $46.50 each. The normal selling price of this product is $51.60 each. The normal unit cost of product 275 is computed as follows: Direct materials ------------------------------------------------------ $17.30 Direct labor ------------------------------------------------------------ 6.60 Variable manufacturing overhead -------------------------------- 3.80 Fixed manufacturing overhead ------------------------------------ 6.70 Unit cost $34.40 Direct labor is a variable cost. The special order would have no effect on the company's total xed manufacturing overhead costs. The customer would like some modications made to product 275 that would increase the variable costs by $6.20 per unit and that require using limited resources used by other investment which has an opportunity cost of $46,000. The special order would have no effect on the company's market sales. The company has excess capacity for producing the special order. Required: 1. Using the above information, determine whether the company should accept the special order, and why? If the company accepted the special order, compute how much increase (decrease) in the company's net operating income