Please only answer the 4 subparts stated directly below:

a.) Calculate the full cost of the order.

b) Calculate the opportunity cost of taking the order.

c) Determine the sunk costs related to the order.

d) Should Mr. Smith accept the order?

James Smith operates a small machine shop. He manufactures one standard product that is also available from many other similar businesses, and he also manufactures deluxe products to order. His accountant prepared the following annual income statement: Deluxe Sales $50,500 Standard Sales $25,300 Total $75,800 Sales Costs Material 10,100 20,200 6,363 8,080 9,090 Labour 3,636 Depreciation Power 18,180 29,290 9,999 1,107 7,070 707 400 Rent 1,010 6,060 606 100 706 Heat and light Other 404 910 1,314 Total costs 44,440 $6,060 23,226 $2,074 67,666 $8,134 Net income The depreciation charges are for machines used in the product lines. The power charge is apportioned based on an estimate of the power consumed by each line. The rent is for the building space, which has been leased for 10 years at $7,070 per year. The rent and the heat and light costs are apportioned to the product lines based on the amount of floor space occupied by each line. All other costs are current expenses that are identified with the product line causing them. A valued customer has asked Mr. Smith if he would manufacture 5,050 of the deluxe products for him. Mr. Smith is working at capacity and would have to give up some other business in order to take this order. He cannot cancel deluxe orders he has already agreed to, so he would have to reduce the output of his standard product by about one-half for a year while producing the requested deluxe product. The customer is willing to pay $7.00 for each unit. The material cost will be about $2.00 per unit and the labour will be $3.60 per unit. Mr. Smith will have to spend $2,020 for a special device that will be discarded when the job is done. (a) Your answer is correct. Calculate the incremental cost of the order. Incremental cost of the order $ 30300