The normal selling price is $25 per unit. The company's capacity is 75,000 units per yeat, An onder hai buen received from a mail-order house for 15,000 units at a specital price of $16 per unit. This order weula tait affect regular sales. Required: 1. If the order is accepted, by how much will annual profits be increased or decreased? (The onder will nox change the company's total fixed costs.) 2. How will your answer change if the order from the mail-order house is for 20,000 units? (Compuations are not required to answer this question.) 3. Assume the company has 1,000 units of this product left over from last year that are vasily inferior to the current model. The units must be sold through regular channels at reduced prices. What unit cost figure is relevant for establishing a minimum selling price for these units? Explain your