SheffieldInc. manufactures basketballs for professional basketball associations. For the first six months of 2022, the company reported the following operating results while operating at 90% of plant capacity:

Amount

Per Unit

Sales

$4,500,000$50.00Cost of goods sold

3,150,00035.00

Selling and administrative expenses

369,0004.10Net income

$981,000$10.90

Fixed costs for the period were cost of goods sold of $900,000, and selling and administrative expenses of $162,000.

In July, normally a slack manufacturing month,Sheffieldreceives a special order for9,000basketballs at $30.00each from the Italian Basketball Association. Accepting the order would increase variable selling and administrative expenses by $0.75per unit because of shipping costs, but it would not increase fixed costs and expenses.

Prepare an incremental analysis for the special order.(Round per unit calculations to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 125.)

Incremental revenue$

enter a dollar amount

Incremental cost:Variable COGS$

enter a dollar amount

Variable S & Aenter a dollar amount

Additional S & Aenter a dollar amount

enter a subtotal of the three previous amounts

Incremental income$

enter a total amount

ShouldSheffieldInc. accept the special order?

SheffieldInc. should

select an option

accept

reject

the special order.

What is the minimum selling price on the special order to produce net income of $4.00per ball?(Round answer to 2 decimal places, e.g. 15.25.)

Minimum selling price

$

enter the minimum selling price in dollars rounded to 2 decimal places