ShurShot Sports Inc. manufactures basketballs for the National Basketball Association (NBA). For the first 6 months of 2014, the company reported the following operating results while operating at 80% of plant capacity and producing 120,000 units.

AmountSales$4,800,000Cost of goods sold3,600,000Selling and administrative expenses405,000Net income$795,000

Fixed costs for the period were cost of goods sold $960,000, and selling and administrative expenses $225,000.

In July, normally a slack manufacturing month, ShurShot Sports receives a special order for 10,000 basketballs at $27 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $0.50 per unit because of shipping costs but would not increase fixed costs and expenses.

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Problem 201A ShurShot Sports Inc. manufactures basketballs for the National Basketball Association (NBA). For the rst 6 months of 2014, the company reported the following operating results while operating at 80% of plant capacity and producing 120,000 units. Sales $4,800,000 Cost of goods sold 3,600,000 Selling and administrative expenses 405,000 Net income $ 795.000 Fixed costs for the period were cost of goods sold $960,000, and selling and administrative expenses $225,000. In July, normally a slack manufacturing month, ShurShot Sports receives a special order for 10,000 basketballs at $27 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $0.50 per unit because of shipping costs but would not increase xed costs and expenses. Prepare an incremental analysis for the special order. (Round all per unit computations to 2 decimal places, e.g. 15.25. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues $ $ $ Cost of goods sold Selling and administrative expenses Net income $ $ $ Should ShurShot Sports Inc. accept the special order? | a What is the minimum selling price on the special order to produce net income of $4.00 per ball? (Round answer to 2 decimal places, e.g. 15.25.) Minimum selling price $