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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
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 90% of plant capacity and producing 143,460 units. Fixed costs for the period were cost of goods sold $961,800, and selling and administrative expenses $226,600. In July, normally a slack manufacturing month, ShurShot Sports receives a special order for 13,700 basketballs at $26 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $0.35 per unit because of shipping costs but would not increase fixed costs and expenses. Prepare an incremental analysis for the special order
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