Problem 21-1A ThreePoint Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA). For the first 6 months of 2017, the company reported the following operating results while operating at 80% of plant capacity and producing 120,300 units.

Amount
Sales	$ 4,812,000
Cost of goods sold	3,494,721
Selling and administrative expenses	492,021
Net income	$ 825,258

Fixed costs for the period were cost of goods sold $ 960,000 , and selling and administrative expenses $ 243,000 . In July, normally a slack manufacturing month, ThreePoint Sports receives a special order for 10,000 basketballs at $ 29 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $ 0.73 per unit because of shipping costs but would not increase fixed costs and expenses.

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(a)Prepare an incremental analysis for the special order.(Round all per unit computations to 2 decimal places, e.g. 15.25.Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Reject Order	Accept Order	Net Income Increase (Decrease)
Revenues	$	$	$
Cost of goods sold
Selling and administrative expenses
Net income	$	$	$

(b)Should ThreePoint Sports Inc. accept the special order? YesNo

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What is the minimum selling price per unit on the special order to produce net income of $5.19 per ball?(Round answer to 2 decimal places, e.g. 15.25.)

Minimum selling price

$

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