Superior Designs Jerseys (SDJ)has the capacity to produce 20,000 jerseys per year and is currently selling all 20,000 for $200 each. JLo Enterprises has approached SDJ to buy 500 jerseys for $160 each. The company's normal variable cost is $135 per jersey, including $45 per unit in direct labour per jersey. SDJ can produce the special order on an overtime shift, which means that direct labour would be paid overtime at 150% of the normal pay rate per unit. The special order will not affect the annual fixed costs, and a special machine needs to be purchased at $600 for this order. The contract will not disrupt any of SDJ's other operations.

What quantitative factors should SDJ consider in evaluating whether to accept or reject the special order?

Should SDJ accept the special order? Explain.

In a make vs buy decision, what qualitative factors may arise that may influence the final decision?