Use the given for the problem identified as Tommy Boy and fill in the answer below: Revenue:

Per Unit	In total

Costs:

Profit

Suppose the company is already at capacity when the special order is received. Should we consider the special order?

Tommy Boy produces a single product. The cost of producing and selling a single unit of this product at the normal activity level of 30,000 units per month is as follows: The normal selling price of the product is $65.50. An order has been received from a special customer for 2000 unit to be delivered this month at a special discounted price of $60.00. This order would have no effect on the company's normal sales and would not change the total amount of the company's fixed costs. Direct labor is a variable cost in this company. Suppose the company has ample idle capacity to produce the units required by the special customer. By how much would this special order increase (or decrease) the company's net operating income for the month? (13 points) Suppose the company is already at capacity when the special order is received. Should we consider the special order? Explain. (2 pts)