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QUESTION 1 5 points Manama Ine manufactures basketballs for the National Basketball Association (NBA) For the first 6 months of 2021, the company reported the

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QUESTION 1 5 points Manama Ine manufactures basketballs for the National Basketball Association (NBA) For the first 6 months of 2021, the company reported the following operating results while operating at 90% of plant capacity and producing 90,000 units Amount Sales $4.500.000 Cost of Goods Sold 3,060,000 Selling and administrative expenses 360,000 Net income $1,080.000 S Fixed costs for the period were cost of goods sold 9900.000. and fixed selling and administrative expenses $180,000 In July, normally a slack manufacturing month Manama Inc receives a special order for 10.000 basketballs at $30 each from the Chinese Basketball Association (CBA) Acceptance of the order would increase variable selling and admirustrative expenses so 5 per unit because of shipping costs but would not increme fixed costs and fixed expense Required: (a) What is the financial advantage (disadvantage) of accepting the special order from the Chinese Basketball Association (GBA)? b) Should Manama Inc accept the special order? Explain your answer (c) Advise to the management what resources are considering for accepting special orders

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