MornIng Sky, Incorporated (MSI), manufactures and sells computer games. The company has several product IInes based on the age range of the target market. MSI sells both Individual games as well as packaged sets. All games are in CD format, and some utillze accessorles such as steering wheels, electronlc tablets, and hand controls. To date, MSI has developed and manufactured all the CDs itself as well as the accessorles and packaging for all of Its products. The gaming market has traditionally been targeted at teenagers and young adults; however, the Increasing affordability of computers and the Incorporation of computer actlvitles Into junlor high and elementary school curriculums has led to a significant increase in sales to younger children. MSI has always Included games for younger children but now wants to expand Its business to capitalize on changes in the industry. The company currently has excess capacity and is Investigating several possible ways to Improve profitability. MSI has been approached by a fourth-grade teacher from Portland about the possibility of creating a speclally designed game that would be customized for her classroom and environment. The teacher would like an educational game to correspond to her classroom coverage of the history of the Pacific Northwest, and the state of Oregon In particular. MSI has not sold Its products directly to teachers or school systems In the past, but Its Marketing Department Identlfied that possibility during a recent meeting. The teacher has offered to buy 1,200 coples of the CD at a price of $6.00 each. MSI could easlly modify one of Its exIsting educational programs about U.S. history to accommodate the request. The modifications would cost approximately $340. A summary of the Information related to production of MSI's current history program follows: Required: 1. Compute the Incremental profit (or loss) from accepting the speclal order. 2. Should MSI accept the speclal order? 3. Suppose the speclal order had been to purchase 1,200 coples of the program for $2.50 each. Compute the Incremental profit (or loss) from accepting the speclal order under this scenarlo. 4. Suppose MSI is operating at full capacity. To accept the speclal order, It would have to reduce production of the history program. Compute the speclal order price at which MSI would be Indifferent between accepting or rejecting the speclal order