Wilson Co$.$ produces tennis rackets. A customer offered Wilson Co$.$ $$400$ per racket for $200$ rackets. To fill the order, Wilson would incur unit$-$level costs of $$300$ per unit and batch$-$level costs of $$1,000.$ Wilson also incurred $$10,000$ of product$-$level costs to design the racket and has $$100,000$ of facility$-$level costs. If Wilson Co$.$ does not accept the special order, they can rent out the excess capacity for $$10,000.$ Should Wilson Co$.$ accept the special order? What or why not?

Multiple choice question.

Yes, profits increase by $$19,000.$

Yes, profits increase by $$9,000.$

No$,$ profits decrease by $$9,000.$

No$,$ profits decrease by $$10,000.$