Questions 1 and 2 are based on the following information: As of December 1, 2021, X Company had produced and sold 64,400 units of its only product. The following is the company's December 1 Income Statement: Total Per- Unit Sales $892,584 $13.86 Cost of goods sold Gross profit Selling & 540,960 351,624 8.40 5.46 180,320 2.80 administrative costs Profit $171,304 $2.66 Analysis of cost of goods sold reveals that $128,800 of it was fixed; a similar analysis of selling & administrative costs reveals that $83,720 of it was variable. On December 2, a company offered to buy 4,500 units for $12.55 each. Because the special order product was slightly different than the regular product, direct material costs were expected to decrease by $0.20 per unit, and some special equipment would have to be rented for a total of $18,000. 1. What would profit have been on the special order? OA: $4,725 OB: $6,851 OC: $9,934 OD: $14,405 E: $20,887 Submit Answer Tries 0/99 F: $30,286 2. If X Company had accepted the special order, it would have had to lower the selling price of its regular product by $0.30 per unit to retain all of its regular customers. This price reduction would have decreased company profits by OA: $19,320 OB: $25,696 OC: $34,175 OD: $45,453 OE: $60,452 OF: $80,402 Submit Answer Tries 0/99