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The following information relates to a product produced by Orca Company: Fixed selling costs are $4.000,000 per year. Although production capacity is 650.000 units per

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The following information relates to a product produced by Orca Company: Fixed selling costs are $4.000,000 per year. Although production capacity is 650.000 units per year, Orca expects to produce only 520,000 units next year. The product normally selts for $230 each. A customer has offered to buy 60,300 units for $210 each. The customer will pay the transportation charge on the units purchased. If Orca accepts the special order, the effect on operating profits would be a: Multiple Choice $120,600 increase. $361,800 increase. $2.653,200 increase. $1,206,000 decrease

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