Questions 4 and 5 refer to the following problem: At the end of the year, a company offered to buy 4,410 units of a product from X Company for $12.00 each instead of the company's regular price of $17.00 each. The following income statement is for the 67,800 units of the product that X Company has already made and sold to its regular customers: Sales Cost of goods sold Gross margin Selling and administrative costs Profit $1,152,600 568,842 $583,758 167,466 $416,292 For the year, fixed cost of goods sold were $137,634, and fixed selling and administrative costs were $71,190. The special order product has some unique features that will require additional material costs of $0.79 per unit and the rental of special equipment for $3,000. 4. Profit on the special order would be Submit Answer Tries 0/3 5. The marketing manager thinks that if X Company accepts the special order, regular customers will be lost unless the selling price for them is reduced by $0.11. The effect of reducing the selling price will be to decrease firm profits by Submit Answer Tries 0/3