The following are Hibiscus Company's cost of making and selling an item: $2 Description Amount per unit Direct materials $9 Direct labor $4 Variable manufacturing overhead Fixed manufacturing overhead $5 Variable selling and administrative $2 Fixed selling and administrative $8 A one-time only special order has been received for 600 units. The company has capacity to accept the oder and it would not affect regular sales. The sales price for the special order is $26 per unit. Total fixed costs would not be affected by this order. The variable selling and administrative costs would have to be incurred for this special order. The order would require an additional $3 per unit for specialized materials and a new machine that costs $2,000. What is the financial advantage or disadvantage of accepting the special order? . $3,600 advantage OB $1,600 advantage . $2,400 disadvantage $2,800 advantage D The following data pertain to an investment proposal (Ignore income taxes) Amount $80,000 Description Cost of the investment Annual Cost Savings Estimated salvage value $25,000 $10,000 Life of the project 10 years Discount rate 1896 Use the following selection from the present value tables, to calculate the net present value of the proposed investment. The net present value of the proposed investment is closest to: Present Value of $1 Present Value of an Annuity of $1 Period 996 18% Period 996 18% 5 0.650 0.437 5 3.890 3.127 10 0.422 0.191 10 6.418 4.494 0.037 20 9.129 5.353 20 0.178 . ($30,285) B. $34,260 CE $32,350 $30,440