Homework: Module 5 Homework Assignment Save Score: 7.5 of 15 pts 3 of 5 (4 complete) HW Score: 60.53%, 39.34 of 65 pts E8-21 A (similar to) A Question Help Suppose the Baseball Hall of Fame in Cooperstown, New York, has approached Sports - Cardz with a special order. The Hall of Fame wants to purchase 58,000 baseball card packs for a special promotional campaign and offers $0.37 per pack, a total of $21,460 Sports - Cardz's total production cost is $0.57 per pack, as follows: (Click the icon to view the cost information.) Sports - Cardz has enough excess capacity to handle the special order. Read the requirements, Requirement 1. Prepare an incremental analysis to determine whether Sports - Cardz should accept the special sales order assuming fixed costs would not be affected by the special order. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Total Order Incremental Analysis of Special Sales Order Decision Revenue from special order Less variable expense associated with the order: Per Unit (58,000 units) 0.37 $ 21,460 $ 0.32 18,560 Variable manufacturing costs 0.05 $ 2.900 Contribution margin Less: Additional fixed expenses associated with the order 2.900 Increase (decrease) in operating income from the special order Decision: Accept the special sales order. Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Sports - Cardz must spend $4,800 to develop this hologram, which will be useless after the special order is completed. Prepare an incremental analysis to determine whether Sports - Cardz should accept the special order under these circumstances. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Total Order Per Unit (58,000 units) - X Data Table Incremental Analysis of Special Sales Order Decision Revenue from special order Less variable expense associated with the order: Variable manufacturing costs Variable costs: Contribution margin Direct materials 0.12 Direct labor 0.09 Less: Additional fixed expenses associated with the order Variable overhead 0.11 Increase (decrease) in operating income from the special order 0.25 Fixed overhead 0.57 Total cost Print Done