Summer Fun manufactures flotation vests in Charlotte, North Carolina. Summer Fun's contribution margin income statement for the most recent month contains the following data: (Click the icon to view the cost information.) Suppose Overton Cruiselines wants to buy 5,400 vests from Summer Fun. Acceptance of the order will not increase Summer Fun's variable marketing and administrative expenses or any of its fixed expenses. The Summer Fun plant has enough unused capacity to manufacture the additional vests. Overton Cruiselines has offered $8 per vest, which is below the normal sale price of $14. Read the requirements. Requirement 1. Prepare an incremental analysis to determine whether Summer Fun should accept this special sales order. (Enter a "O" for any zero balances. Use parentheses or a minus sign to indicate a negative contribution margin and/or a decrease in operating income from the special order.) Total Order (5,400 units) Incremental Analysis of Special Sales Order Decision Per Unit Revenue from special order Less variable expense associated with the order: Variable manufacturing costs Contribution margin Less: Additional fixed expenses associated with the order Increase (decrease) in operating income from the special order Decision: Requirement 2. Identify long-term factors Summer Fun should consider in deciding whether to accept the special sales order. In addition to determining the special order's effect on operating profits, Summer Fun's managers also should consider the following: O A. Will Summer Fun's other customers find out about the lower sale price Summer Fun accepted from Overton? If so, will these other customers demand lower sale prices? O B. Will lowering the sale price tarnish Summer Fun's image as a quality brand? O C. How will Summer Fun's competitors react? Will they retaliate by cutting their prices and starting a price war? OD. All of the above. O E. None of the above. A Data Table Summer Fun Contribution Margin Income Statement (Variable Costing) For Sales Volume of 30,000 Units Total Sales revenue 420,000 Less variable expenses: Variable manufacturing costs (DM, DL, Variable MOH) 210,000 Variable operating expenses (selling and administrative) 104,000 Contribution margin 106,000 Less fixed expenses: Fixed manufacturing overhead 126,000 Fixed operating expenses (selling and administrative) 85,000 $ (105,000) Operating income (loss)