Return to question 9 Pardo Company produces a single product and has capacity to produce 185,000 units per month. Costs to produce its current monthly sales of 148,000 units follow. The normal selling price of the product is $126 per unit. A new customer offers to purchase 37,000 units for $63.00 per unit. If the special offer is accepted, there will be no additional fixed overhead and no additional fixed general and administrative costs. The special offer would not affect its normal sales. 15 points Direct materials Direct labor Variable overhead Fixed overhead Fixed general and administrative Totals Per Unit $ 12.50 15.00 11.00 17.50 14.00 Costs at 148,000 Units $ 1,850,000 2,220,000 1,628,000 2,590,000 2,072,000 $ 10,360,000 $ 70.00 (a) Compute the income from the special offer. (b) Should the company accept the special offer? X Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required A Required B Return to question 9 Complete this question by entering your answers in the tabs below. 15 points Required A Required B Compute the income for the special offer. (Round your "Per Unit" answers to 2 decimal places.) SPECIAL OFFER ANALYSIS Per Unit Total Sales $ 113.40 X $ 20,979,000 Variable costs Direct materials 12.50 2,312,500 Direct labor 15.00 2,775,000 2,035,000 Variable overhead 11.00 Contribution margin 74.90 13,856,500 Fixed costs Fixed overhead 17.50 X Fixed general and administrative 14.00 X 2,590,000 2,072,000 9,194,500 Income $ 43.40 $