SaveERIE Check my 6 Exercise 13-9 (Algo) Special Order Decision (LO13-4) Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 90,000 units per year is: 12.5 ools BOL Hant Direct material Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and Administrative species Fixed selling and administrative expenses $2.40 $3.00 50.00 $ 3.75 The normal selling price is $18.00 per unit. The company's capacity is 123,600 units per year. An order has been received from a mail order house for 2,800 units at a special price of $15.00 per unit. This order would not affect regular solos or the company's total fixed costs Required: 1 What is the financial advantage disadvantage of accepting the special order? 2. As a separate matter from the special order assume the companys inventory includes 1000 units of this product that were produced last year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales or its current model. What unit cost is relevant for establishing a minimum selling price for the inferior units? Complete this question by entering your answers in the tabs below. Required 1 Required 2 SaveERIE Check my 6 Exercise 13-9 (Algo) Special Order Decision (LO13-4) Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 90,000 units per year is: 12.5 ools BOL Hant Direct material Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and Administrative species Fixed selling and administrative expenses $2.40 $3.00 50.00 $ 3.75 The normal selling price is $18.00 per unit. The company's capacity is 123,600 units per year. An order has been received from a mail order house for 2,800 units at a special price of $15.00 per unit. This order would not affect regular solos or the company's total fixed costs Required: 1 What is the financial advantage disadvantage of accepting the special order? 2. As a separate matter from the special order assume the companys inventory includes 1000 units of this product that were produced last year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales or its current model. What unit cost is relevant for establishing a minimum selling price for the inferior units? Complete this question by entering your answers in the tabs below. Required 1 Required 2