Giancarlo has received a special order for 500 units of its product at a special price of $3,800. The product normally sells for $5,000 and has the following manufacturing CostS-Direct Materials$1,200 per unitDirect Labor650 per unitVariable Manufacturing Overhead490 per unitFixed Manufacturing Overhead700 per unitUnit Cost$3.240Assume Giancarlo has sufficient capacity to fill this order without harming normal production and sales. If Giancarlo accepts this order, what effect would the order have on the company's short term profits?

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Answer If Giancarlo accepts the special order for 500 units at a price of ... View the full answer