Pamela Corp. makes Z-scent according to a traditional recipe, which normally sells at $9 per ounce. This product is seasonal. During the high product demand season, January through the end of July, production volume is at full capacity of 10,000 ounces per month. From August until the end of December, low demand season, production volume drops to 6,000 ounces per month. Variable costs of production are $2 in direct materials per unit and $1 per unit of direct labor. Fixed costs are $18,000 per month. In November, Umberto Inc. offers to purchase 1,500 ounces for $6,000. If Pamela accepts the order, she must design a special label for Umberto at a cost of $500. Each label will cost 25 cents to make and apply. Pamela should:

Accept the order, as Pamela will gain $625

Reject the order, as Pamela will lose $3,875

Reject the order, as Pamela will lose $2,750

Accept the order, as Pamela will gain $1,125

None of the above