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Mana's Food Service provides meals that nonprofit organizations distribute to handicapped and elderly people. The following is her forecasted income statement for April, when she

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Mana's Food Service provides meals that nonprofit organizations distribute to handicapped and elderly people. The following is her forecasted income statement for April, when she expects to produce and sell 2.400 meals 51 revenue Costs of meals produced Gross profit Administrative costs Operating profit 112,960 10,000 $ 2,850 1.200 $ 1,680 Pe Unit $5.40 4.28 $ 1.20 0.50 $0.70 Fixed costs included in this income statement are $3,456 for meal production and S4B0 for administrative costs. Maria has received a special request from an organization sponsoring a picnic to raise funds for the Special Olympics. This organization is willing to pay $3.20 per meal for 300 meals on April 10. Maria has sufficient de capacity to fill this special order. These meals will incur all of the variable costs of meals produced, but variable administrative costs and total fixed costs will not be affected Required: a. What impact would accepting this special order have on operating profit? (Select option "higher" or "lower", keeping Status Quo as the base. Select "none" If there is no effect.) Status Quo 2.400 Units Alternative 2.700 Units Difference Sales revenue Variable costs Meals Administrative Contribution margin Fixed costs Operating profit Mana's Food Service provides meals that nonprofit organizations distribute to handicapped and elderly people. The following is her forecasted income statement for April, when she expects to produce and sell 2.400 meals 51 revenue Costs of meals produced Gross profit Administrative costs Operating profit 112,960 10,000 $ 2,850 1.200 $ 1,680 Pe Unit $5.40 4.28 $ 1.20 0.50 $0.70 Fixed costs included in this income statement are $3,456 for meal production and S4B0 for administrative costs. Maria has received a special request from an organization sponsoring a picnic to raise funds for the Special Olympics. This organization is willing to pay $3.20 per meal for 300 meals on April 10. Maria has sufficient de capacity to fill this special order. These meals will incur all of the variable costs of meals produced, but variable administrative costs and total fixed costs will not be affected Required: a. What impact would accepting this special order have on operating profit? (Select option "higher" or "lower", keeping Status Quo as the base. Select "none" If there is no effect.) Status Quo 2.400 Units Alternative 2.700 Units Difference Sales revenue Variable costs Meals Administrative Contribution margin Fixed costs Operating profit

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