Nautical manufactures flotation vests in San Francisco, California. Nautical's contribution margin income statement for the most recent month contains the following data: EEB (Click the icon to view the cost information.) Suppose Optimum Cruiselines wants to buy 5,400 vests from Nautical. Acceptance of the order will not require ariable selling and administrative expenses. The special order will not affect fixed expenses. The Nautical plant has enough unused capacity to manufacture the additional vests. Optimum Cruiselines has offered $9 per vest, which is below the normal sale price of $15. Read the requirements. Data Table Requirement 1. Prepare an incremental analysis to determine whether Nautical should accept this special sales order. (Enter a and/or a decrease in operating income from the special order.) Total Order Nautical Contribution Margin Income Statement (Variable Costing) For Sales Volume of 29,000 Units Incremental Analysis of Special Sales Order Decision Per Unit (5,400 units) Revenue from special order Less variable expense assoclated with the order: Total Variable manufacturing costs Contribution margin Less: Additional fixed expenses assoclated with the order Increase (decrease) in operating income from the special order Decision: Requirement 2. Identify long-term factors Nautical should consider in deciding whether to accept the special sales order In addition to determining the soecial orders effect on operatina orofits. Nautical's managers also should consider the followina: Sales revenue 435,000 Less variable expenses: Variable manufacturing costs (DM, DL, Variable MOH) Variable cperating expenses (selling and administrative) 116,000 105,000 Contribution margin Less fixed expenses: $214,000 Fixed manufacturing overhead $127,000 87,000 Fioxed operating expenses (selling and administrative) Enter any number in the edit fields and then continue to the next question. Operating income (loss)