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PROSPORTS manufactures basketballs for professional basketball associations. It has budgeted the following sales and expenses for next year assuming the company operates at 80% capacity.

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PROSPORTS manufactures basketballs for professional basketball associations. It has budgeted the following sales and expenses for next year assuming the company operates at 80% capacity. Fixed costs for the period consist of $990,000 for costs of goods sold and $162,000 for selling and administrative expenses. Pro Sports receives a special order for basketballs from the European Basketball Association. Accepting the special order would increase variable selling and administrative expenses by $1.00 per unit because of shipping costs but would not increase fived rosts a) Assume the special order is for 15,000 units at $30 per unit. i. What is the minimum price Pro Sports should charge, in total and per unit, for this special order? ii. If Pro Sports accepts this special order by how much will net income increase or decrease? iii. Should Pro Sports accept the special order? b) Assume the special order is for 30,000 units at $30 per unit. special order? i. What is the minimum price Pro Sports should charge, in total and per unit, for this ii. If Pro Sports accepts this special order by how much will net income increase or decrease? iii. Should Pro Sports accept the special order? Which of the following statements is true? Select one: none of these An organization where all decision making is made by one or a few individuals is referred to as profit making organization An organization where all decision making is made by one or a few individuals is referred to as a decentralized organization An organization where all decision making is made by one or a few individuals is referred to as a centralized organization

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