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TarjeeMetal Works received an offer from a big-box retail company to purchase3,420metal outdoor tables for $244each.TarjeeMetal Works accountants determine that the following costs apply to

TarjeeMetal Works received an offer from a big-box retail company to purchase3,420metal outdoor tables for $244each.TarjeeMetal Works accountants determine that the following costs apply to the tables:

Direct material$151

Direct labor57

Manufacturing overhead80

Total$288

Of the $80of overhead, $16is variable and $64relates to fixed costs. The $64of fixed overhead is allocated as $1.24per direct labor dollar.

What will be the real effect on profit if the order is accepted?

The profit will increase or decrease? by $ ?

.

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