Super-Ban's marketing manager, Peter Stenback, argue against accepting the special order because offer price of $81 is less than Super- Ban's $83 cost to make the sunglasses. Stenback asks you, as one of Super-Ban's staff accountants, to explain whether his analysis is correct. What would you say?

1. When deciding whether to accept a special order, we should compare the

A. Revenues we will receive against the differential costs prior to filling the order

B. Revenues we will receive against the differential costs we will incur to fill the order

C. Revenues prior to filling the order against the extra costs we will incur to fill the order

2.Costs that we will incur whether or not we fill the order are _______ to our decision.

A. irrelevant

B. Relevant

3. This is why comparing the $81 price Nevada Shades offered us with our $83 total cost of making the sunglasses is

A. Incorrect

B. Correct