Perry Industries has an annual plant capacity of 70,000 units: current production is 51,000 units per year. At the current production volume, the variable cost per unit is $25.00 and the fixed cost per unit is $3.80. The normal selling price of Perry's product is $47.00 per unit. Perry has been asked by Abbott Company to fill a special order for 16,000 units of the product at a special sales price of $24.00 per unt, Abbott is located in a foreign country where Perry does not currently operate Abbott will market the units in its country under its own brand name, so the special order is not expected to have any effect on Perry's reguler sales. Read the queen Requirement 1. How would accepting the special order impact Perry's operating income? Should Parry accept the special order? Complete the following incremental analysis to determine the impact on Perry's operating income if it accepts this special order. (Enter a "for any zero belances. Use parentheses or a minus sign to indicate a decrease in contribution margin andior operating income from the special order.) Total Order Incremental Analysis of Special Sales Order Decision (16,000 un Revenue from special order Less expenses associated with the order Variable manufacturing cost Contribution margin Less: Additional fixed expenses associated with the order Increase (decrease) in operating income from the special order Calculator Requirements 1. How would accepting the special order impact Peny's operating income? Should Pany accept the special order? 2. How would your analysis change the special order sales price were to be $37.00 per unit and Perry would have to pay an atomery a fee of $20,000 to make sure it is complying with export laws and regulations relating to the special order? Print Done Check answer