Suppose the Baseball Hall of Fame in Cooperstown, New York, has approached Hobby Cardz with a special order. The Hall of Fame wants to purchase 51000 baseball card packs for a special promotional campaign and offers $.34 per pack, a total of 17340

HobbyCardz's total production cost is $0.54 per pack, as follows: HobbyCardz has enough excess capacity to handle the special orde

Data table Variable costs: $ 0.11 Direct materials Direct labor Variable overhead 0.08 0.10 0.25 Fixed overhead .. $ 0.54 Total cost ..... Requirements 1. Prepare an incremental analysis to determine whether Hobby-Cardz should accept the special sales order assuming fixed costs would not be affected by the special order. 2. Now assume that the Hall of Fame wants special hologram baseball cards. Hobby - Cardz must spend $4,900 to develop this hologram, which will be useless after the special order is completed. Should Hobby-Cardz accept the special order under these circumstances? Show your analysis