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Texas Co. manufactures and sells 40,000 units of product Nano. The selling price of Nano is $50 per unit. The cost information for product Nano

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Texas Co. manufactures and sells 40,000 units of product Nano. The selling price of Nano is $50 per unit. The cost information for product Nano is as follows: Unit variable costs: Direct material Direct labour Factory overheads Selling and administrative overheads $ 6 8 10 12 Total fixed factory overheads Total fixed seiling and administrative overheads $360,000 $240,000 Texas Co. received a special order to manufacture 10,000 units of Nano at a unit price of $30. There is no increase in total fixed costs but unit variable costs will be reduced to $26. Compute the projected increase or decrease in profit from this special order

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