Radar Company sells bikes for $540 each. The company currently sells 4,400 bikes per year and...

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Radar Company sells bikes for $540 each. The company currently sells 4,400 bikes per year and could make as many as 4,790 bikes per year. The bikes cost $250 each to make: $175 in variable costs per bike and $75 of fixed costs per bike. Radar receives an offer from a potential customer who wants to buy 390 bikes for $500 each. Incremental fixed costs to make this order are $90 per bike. No other costs will change if this order is accepted. (a) Compute the income for the special offer. (b) Should Radar accept this offer? (a) Special offer analysis Per Unit Total Contribution margin Income (b) The company should Radar Company sells bikes for $540 each. The company currently sells 4,400 bikes per year and could make as many as 4,790 bikes per year. The bikes cost $250 each to make: $175 in variable costs per bike and $75 of fixed costs per bike. Radar receives an offer from a potential customer who wants to buy 390 bikes for $500 each. Incremental fixed costs to make this order are $90 per bike. No other costs will change if this order is accepted. (a) Compute the income for the special offer. (b) Should Radar accept this offer? (a) Special offer analysis Per Unit Total Contribution margin Income (b) The company should