MAIN.Arder Sales volume in units 110 Revenue Variable costs $6,600 $2,200 Contribution margin $4,400 Fixed costs $1,300 $3.100 Special order: A client wants to buy 10 units at a discounted price of $30 per unit. This t cutting back on your regular sales a) Use the gross approach to decide whether you should take the special order deal (e, a short-term decision). You have enough saare capacity to fut this special order with status que (no special total amounts after anting order) the special order Revenue 16,600 Variable costs $2,200 ZMI x Contin margin $4,400 x $1.300 1300 4 Proft $3,100 1000 x Should you take the special order? Why? ONO-the low price for the special order reduces the contribution margen YES the profit is higher with the special der O yes the prefit is positive with the special order b) Use the incremental approach to decide whether you should take the special order. Incremental revenue Incrementat vanabia coats Incremental contribullen margin Incremental fixed costs how much each amount changes after adding the Should you take the special order? Why? bout T.PHO 4300 6364 Cour