Each year, Randall Data Source surveys 5,000 former and prospective customers regarding satisfaction and brand awareness. For the current year, the company is considering outsourcing the survey to Sanderson Data, a company that has offered to conduct the survey and summarize results for $50,000. Randall Wince, the president of Randall Data Source, believes that Sanderson will do a higher-quality job than his company has been doing, but is unwilling to spend more than $12,000 above current costs. The head of bookkeeping for Randall has prepared the following summary of costs related to the survey in the prior year.

Mailing		$27,000
Printing (done by Sanderson Data)		9,000
Salary of part-time employee who stuffs envelopes and summarizes survey data (130 hours $16)		2,080
Share of depreciation of computer and software used to track survey responses and summarize results		1,200
Share of electricity/phone/etc. based on square feet of space occupied by the part-time employee		600
Total		$39,880

Prepare an incremental analysis in good form to determine the impact on net income of hiring an outside company versus conducting the survey in house. (Enter incremental costs using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

select an opening section name Cost of Sanderson Data Mailing Salary of part-time employee Cost savingsIncremental cost of hiring Sanderson DataIncremental benefit of hiring Sanderson DataPrinting				$enter a dollar amount
select between addition and deduction LessAdd: select an item Printing Mailing Cost of Sanderson Data Salary of part-time employeeIncremental cost of hiring Sanderson DataCost savingsIncremental benefit of hiring Sanderson Data
select an item Cost of Sanderson DataIncremental benefit of hiring Sanderson DataIncremental cost of hiring Sanderson DataPrintingCost savingsMailingSalary of part-time employee		$enter a dollar amount
select an item Mailing Salary of part-time employee Cost savings PrintingIncremental benefit of hiring Sanderson DataCost of Sanderson DataIncremental cost of hiring Sanderson Data		enter a dollar amount
select an item Incremental benefit of hiring Sanderson Data Mailing Cost savingsIncremental cost of hiring Sanderson DataPrintingSalary of part-time employeeCost of Sanderson Data		enter a dollar amount
				enter a subtotal of three previous amounts
select a closing section name Printing Cost of Sanderson Data Mailing Salary of part-time employeeIncremental benefit of hiring Sanderson DataCost savingsIncremental cost of hiring Sanderson Data				$enter a total amount for this section

Will Randall Data Source accept the Sanderson offer?

Randall Data Source should select an effect acceptreject the Sanderson Data offer.