Sandhill Company produces golf discs which it normally sells to retailers for $7 each. The cost of manufacturing 18,600 golf discs is: Materials Labor Variable overhead Fixed overhead Total $ 8,556 29.016 19,530 37,572 $94,674 Sandhill also incurs 7% sales commission ($0.49) on each disc sold. McGee Corporation offers Sandhill $5.00 per disc for 4,700 discs. McGee would sell the discs under its own brand name in foreign markets not yet served by Sandhill. If Sandhill accepts the offer, its fixed overhead will increase from $37,572 to $43,302 due to the purchase of a new imprinting machine. No sales commission will result from the special order. (a) Prepare an incremental analysis for the special order. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.. (45).) Reject Order $ Accept Order Net Income Increase (Decrease) Revenues $ $ Materials Labor Prepare an incremental analysis for the special order. (Enter negative amounts using either a negative sign preceding the number e.3.45 or parentheses e.g. (45).) Reject Order Accept Order Net Income Increase (Decrease) $ Revenues $ S Materials Labor Variable overhead Fixed overhead Sales commissions Net income $ $ (b) Should Sandhill accept the special order? Sandhill should the special order e Textbook and Media Q $ 3 4 5 & 7 6 * O 9