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Lang Corporation makes and sells state-of-the-art electronics products. One of its segments produces Math Machine, an inexpensive calculator. The company's chief accountant recently prepared the following income statement showing annual revenues and expenses associated with the segment s operating activities. The relevant range for the production and sale of the calculators is between 34,000 and 73,000 units per year Revenue (40,000 units x $8) $320,000 Unit-level variable costs Materials cost (40,000 x $2) (80,000) Labor cost (40,000 x $1) (40,000) Manufacturing overhead (40,000 x $0 10) (4,000) Shipping and handling (40,000 x $0.27) (10,800) Sales commissions (40,000 x S1) (40,000) Contribution margin 145,200 Fixed expenses Advertising costs Salary of production supervisor (69,000) Allocated companywide facility-level expenses 82,000) (34,800) (Consider each of the requirements independently.) Required a-1. A large discount store has approached the owner of Lang about buying 4,000 calculators It would replace The Math Machine's label with its own logo to avoid affecting Lang's existing customers Because the offer was made directly to the owner, no sales commissions on the transaction would be involved, but the discount store is willing to pay only S5.20 per calculator. Calculate the contribution margin from the special order (Negative amount should be indicated by a minus sign.) a-2. Should Lang accept the special order? a a s O Ask me anything