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ThreePoint Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA). For the first 6 months of 2020, the company reported the following operating

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ThreePoint Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA). For the first 6 months of 2020, the company reported the following operating results while operating at 80% of plant capacity and producing 120,000 units. Sales Cost of goods sold Selling and administrative expenses Net income Amount $4,680,000 3,700,800 532,400 $446,800 Fixed costs for the period were cost of goods sold 5960,000, and selling and administrative expenses $260.000, In July, normally a slack manufacturing month, ThreePoint Sports receives a special order for 10,000 basketballs at $27 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $0.75 per unit because of shipping costs but would not increase foxed costs and expenses. (a) & (b) (a) Prepare an incremental analysis for the special order. (Round all per unit computations to 2 decimal places, es. 15.25. Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses eg. (45) Reject Order Accept Order Net Income Increase (Decrease) 0 270000 270000 0 Revenues Cost of goods sold Selling and administrative expenses Net income 0 260000 -260000 $ 0 $ (b) Should ThreePoint Sports in accept the special order? Ver v e Textbook and Media

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