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Question 2 Not yet graded/15 pts Vincent Company supplies schools with floor mattresses to use in physical education classes. Vincent has received a special order

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Question 2 Not yet graded/15 pts Vincent Company supplies schools with floor mattresses to use in physical education classes. Vincent has received a special order from a large school district to buy 500 mats at $40 each. Acceptance of the special order will not affect fixed costs but will result in $800 of shipping costs. For the first 6 months of 2012, the company reported the following operating results while operating at 80% capacity: Sales (25,000 units) $1,250,000 Cost of goods sold 980,000 Gross profit 270,000 Operating expenses | 170,000 Net income $ 100.000 Cost of goods sold was 80% variable and 20% fixed; operating expenses were 70% variable and 30% fixed. Instructions 1. Prepare an incremental analysis for the special order. (10 points) 2. Should Vincent Company accept the special order? Justify your answer. (5 points)

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