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Nautical manufactures flotation vests in Charleston, South Carolina. Nautical's contribution margin income statement for the month ended July 31, 2024, contains the following data: (Click

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Nautical manufactures flotation vests in Charleston, South Carolina. Nautical's contribution margin income statement for the month ended July 31, 2024, contains the following data: (Click the icon to view the cost information.) Suppose Overtown wishes to buy 4,500 vests from Nautical. Nautical will not incur any variable selling and administrative Read the requirements. expenses on the special order. The Nautical plant has enough unused capacity to manufacture the additional vests. Overtown has offered $7 per vest, which is below the normal sales price of $14. Requirement 1. Identify each cost in the income statement as either relevant or irrelevant to Nautical's decision. Variable Manufacturing Costs relevant Variable Selling and Administrative Costs irrelevant Fixed Manufacturing Costs irrelevant Fixed Selling and Administrative Costs irrelevant Requirement 2. Prepare a differential analysis to determine whether Nautical should accept this special sales order. (Enter decreases to revenue or increases to costs with a parentheses or minus sign.) in operating income Data table - X X Requirements Nautical 1. Identify each cost in the income statement as either relevant or irrelevant to Income Statement Nautical's decision. Prepare a differential analysis to determine whether Nautical should accept For the Month Ended July 31, 2024 this special sales order. Sales in Units 31,000 3. Identify long-term factors Nautical should consider in deciding whether to accept the special sales order. Net Sales Revenue 434.000 Variable Costs: Manufacturing 93,000 05.000 Print Done Selling and Administrative 198,000 Total Variable Costs 236,000 Contribution Margin Fixed Costs: 120,000 Manufacturing 88,000 Selling and Administrative 208,000 Total Fixed Costs 28,000 Clear all Check answer Operating Income Demodocs example Get more he

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