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Suppose the Baseball Hall of Fame in Cooperstown, New York, has approached Hobby Memorabilia with a special order. The Hall of Fame wants to purchase

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Suppose the Baseball Hall of Fame in Cooperstown, New York, has approached Hobby Memorabilia with a special order. The Hall of Fame wants to purchase 51,000 baseball card packs for a special promotional campaign and offers 50.39 per pack, a total of $10,890 Hobby Memorabilia's total production cost is $0.59 per pack, as follows: (Click the icon to view the cost information) Hobby Memorabilia has enough excess capacity to handle the special order. Read the requirements Requirement 1. Prepare an incremental analysis to determine whether Hobby Memorabilia should accept the special sales order assuming faced costs would not be affected by the special order. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Total Order (51,000 units) Per Unit Incremental Analysis of Special Sales Order Decision Revenue from special order Less variable exponse associated with the order: Variable manufacturing costs Contribution margin Less: Additional food expenses associated with the order Increase (decrease in operating income from the special order Decision Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Hobby Memorabilia must spend $5,200 to develop this hologram, which will be useless after the special order is completed. Prepare an incremental analysis to determine whether Hobby Memorabilia should accept the special order under these circumstances (Enter a '0" for any zero balances Use parentheses or a minus sign to indicate a decrease in operating income from the special order) Suppose the Baseball Hall of Fame in Cooperstown, New York, has approached Hobby Memorabilia with a special order. The Hall of Fame wants to purchase 51,000 baseball card packs for a special promotional campaign and offers $0.39 per pack, a total of $19,890 Hobby Memorabilia's total production cost is $0.59 per pack, as follows: (Click the icon to view the cost information) Hobby Memorabilia has enough excess capacity to handle the special order. Read the requirements. Decision: Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Hobby Memorabilia must spend $5,200 to develop this hologram, which will be useless after the special order is completed. Prepare an incremental analysis to determine whether Hobby Memorabilia should accept the special order under these circumstances. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order) Total Order (51,000 units) Per Unit Incremental Analysis of Special Sales Order Decision 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: ame in Cooperstown, New York, has approached cial order. The Hall of Fame wants to purchase a special promotional campaign and offers $0.39 Hobby Memorabilia's total production cost is $0.59 per pack, asf (Click the icon to view the cost information.) Hobby Memorabilia has enough excess capacity to handle the sp Read the requirements. cremental analysis to Enter a "0" for any ze i Data Table sales order assuming fixed costs ase in operating income from the of Special Sales o Variable costs: ated with the order: Direct materials Direct labor Variable overhead Fixed overhead ... 0.14 0.07 sts 0.13 0.25 0.59 es associated with the Total cost. ing income from the Print Done that the Hall of Fame wants special hologram baseball cards. Hobby Memorabilia must spend $5,200 to develop this hold al order is completed. Prepare an incremental analysis to determine whether Hobby Memorabilia should accept the specia "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special o

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