Pamela in Bamplona makes bull-repellent scent according to a traditional Spanish recipe, which normally sells at $9 per unit. Normal production volume is 10,000 ounces per month. Average cost is $5 per ounce, of which $2 is direct material and $1 is variable conversion cost. This product is seasonal. After July, demand for this product drops to 6,000 ounces monthly. In JULY, Umberto offers to buy 1,500 ounces for $6,000. Assume that the order is received in JULY is during peak season. If Pamela accepts the order, she will turn away regular customers who order 500 ounces. Pamela should:

Group of answer choices

reject the order, which loses $ 1,875

reject the order as it is less than her cost

accept the order if Umberto raises the price higher than $ 6.58/ounce

accept the order if Umberto raises the price higher than $ 5.58/ounce