Runner Corporation produces baseball bats for kids that it sells for $$31$ each. At capacity, the company can produce $48,000$ bats a year. The costs of producing and selling $48,000$ bats are as follows:

$($Click to view the costs.$)$

Read the requirements.

Requirement $1.$ Suppose Runner is currently producing and selling $26,000$ bats. At this level of production and sales, its fixed costs are the same as given in the preceding table. Ruth Corporation wants to place a one$-$time special order for $22,000$ bats at $$24$ each. Runner will incur no variable selling costs for this special order. Should Runner accept this one$-$time special order? Show your calculations.

Determine the effect on operating income if the order is accepted. $($Enter decreases in operating income with parentheses or a minus sign.$)$

$[$

$$

$q,$

Increase $($decrease$)$ in operating income if order is accepted $q,$

Runner should

Ruth's special order because it

operating income by $