Mermaid manufactures flotation vests in Charleston, South Carolina. Mermaid's contribution margin income statement for the month ended October 31, 2024, contains the following data: (Click the icon to view the cost information.) Read the requirements. Suppose Overtown wishes to buy 4,000 vests from Mermaid. Mermaid will not incur any variable selling and administrative expenses on the special order. The Mermaid plant has enough unused capacity to manufacture the additional vests. Overtown has offered $9 per vest, which is below the normal sales price of $15. Requirement 1. Identify each cost in the income statement as either relevant or irrelevant to Mermaid's decision. Data table Variable Manufacturing Costs Variable Selling and Administrative Costs Fixed Manufacturing Costs Fixed Selling and Administrative Costs Requirements Mermaid Income Statement For the Month Ended October 31, 2024 Sales in Units Net Sales Revenue 1. Identify each cost in the income statement as either relevant or irrelevant to Mermaid's decision. 2. Prepare a differential analysis to determine whether Mermaid should accept this special sales order. 3. Identify long-term factors Mermaid should consider in deciding whether to accept the special sales order. Variable Costs: Manufacturing Selling and Administrative Total Variable Costs Contribution Margin Fixed Costs: Manufacturing Selling and Administrative Print Done Total Fixed Costs Operating Income $ 31,000 465,000 93,000 110,000 203,000 262,000 128,000 92,000 220,000 $ 42,000 - X