Data Table - Summer Fun Contribution Margin Income Statement (Variable Costing) For Sales Volume of 32,000 Units Total Sales revenue $ 448,000 Less variable expenses: Variable manufacturing costs (DM, DL, Variable MOH) 160,000 103,000 Variable operating expenses (selling and administrative) Contribution margin $ 185,000 Less fixed expenses: Fixed manufacturing overhead $ 127,000 90,000 Fixed operating expenses (selling and administrative) Operating income (loss) (32,000) Summer Fun manufactures flotation vests in San Diego, California. Summer Fun's contribution margin income statement for the most recent month contains the following data: B (Click the icon to view the cost information.) Suppose Overlook Cruiselines wants to buy 4,900 vests from Summer Fun. Acceptance of the order will not increase Summer Fun's variable marketing and administrative expenses or any of its fixed expenses. The Summer Fun plant has enough unused capacity to manufacture the additional vests. Overlook Cruiselines has offered $7 per vest, which is below the normal sale price of $14. Read the fequirements. Requirement 1. Prepare an incremental analysis to determine whether Summer Fun should accept this special sales order. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a negative contribution margin and/or a decrease in operating income from the special order.) Total Order Per Unit (4,900 units) Incremental Analysis of Special Sales Order Decision Revenue from special order Less variable expense associated with the order: Variable manufacturing costs Contribution margin HUN Less: Additional fixed expenses associated with the order Increase (decrease) in operating income from the special order i Requirements 1. Prepare an incremental analysis to determine whether Summer Fun should accept this special sales order. 2. Identify long-term factors Summer Fun should consider in deciding whether to accept the special sales order. Print Done