View Policies Current Attempt in Progress 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 119,400 units. Amount Sales $4,776,000 Cost of goods sold 3,509.190 Selling and administrative expenses 513,516 Net income $753,294 Fixed costs for the period were cost of goods sold $960,000, and selling and administrative expenses $258,000. 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 $0.73 per unit because of shipping costs but would not increase fixed costs and expenses. (a) Prepare an incremental analysis for the special order. (Round all per unit computations to 2 decimal places, e.g. 15.25. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues Cost of goods sold Reject Accept Order Order Net Income Increase (Decrease) WP20A Question 1 of 5 number eg. 45 or parentheses eg. (45).) oods d ative ne education wiley.com Net Income Reject Order Accept Order Increase (Decrease) $ $ (b) Should ThreePoint Sports Inc. accept the special order? eTextbook and Media -13 What is the minimum selling price on the special order to produce net income of $5.12 per bail? (Round answer to 2 decimal places, e.g. 15.25.) Minimum selling price $ eTextbook and Media