Considering that all the variable from Decision Making $-$ Case $1",$ Cougar Inc. can make an addifonal $2,500$ shifs by adding $$10,000$ in fred costs The following represents the sales and costs in a nomal month, including the extra for making more inhirts

$\backslash$table$[[$New Capaoly of the factory. T$-$shirts per mont,$\backslash$table$[[19,500],[15,000]]],[$T$-$Shirs sold in a normal month,$550\mathrm{.}00],[$Selling Price of T$-$shirts,$ $35\mathrm{.}00],[$Cost to Cougar inc of each shirt $($material s labor$),$$ $65,000\mathrm{.}00],[$Montrily fixed costs for rent, utises, accoumlants, eto,$510,000\mathrm{.}00],[]]$

Again, Longhom Lid wants Cougar inc. to setl them $5,000$ T$-$shirts in December, but they only want ts pay $$40$ per T$-$shirt.

T$-$shirts sold to Longhom LAd in December

Longhem

L$.$st eflers ts pay $($per shirt$)$

$\backslash$table$[[5,000,],[5,40,00]]$

QUESTION: Should Cougar inc. sell Longhom Lid. the T$-$shirts? How much would they gain or love by taking this deal? Remember that if they sell the T$-$ahirts to Longhom Lad. for $$40,$ they cannot sell them to UH tans for $$50$

Create an income statement for Cougar inc. doing business as normal. THEN create one for if they acoept Longhom Lafrs proposal.

THEN calculate how much Cougar Inc: would make or lose by accepting the offer. BE SURE YOU DO ALL $3$ PARTS and Show your Work Partial credit will be awarded if I can flgure out you are on the right track