Marshall Company recently approached Johnson Corporation regarding manufacturing a special order of 4,000 units of product CRB2B. Marshall would reimburse Johnson for all variable manufacturing costs plus 35 percent. The per-unit data follow:
Unit sales price ............. $28
Variable manufacturing costs ....... 13
Variable marketing costs .......... 5
Fixed manufacturing costs ........ 4
Fixed marketing costs ........... 2
Johnson would have a retooling cost of $12,000 for the special order. Johnson has no alternative use of capacity.

Required
Should the special order be accepted?