Problem 13-24Effect of order quantity on special order decision Levy Quilting Company makes blankets that it markets through a variety of department stores. It makes the blankets in batches of 1,000 units. Levy made 20,000 blankets during the prior accounting period. The cost of producing the blankets is summarized as follows. Page 496 Materials cost ($20 per unit 20,000) $ 400,000 Labor cost ($18 per unit 20,000) 360,000 Manufacturing supplies ($3 20,000) 60,000 Batch-level costs (20 batches at $4,000 per batch) 80,000 Product-level costs 160,000 Facility-level costs 290,000 Total costs $1,350,000 Cost per unit = $1,350,000 20,000 = $67.50 Required a.Rios Motels has offered to buy a batch of 500 blankets for $47 each. Levys normal selling price is $90 per unit. Based on the preceding quantitative data, should Levy accept the special order? Support your answer with appropriate computations. b.Would your answer to Requirement a change if Rios offered to buy a batch of 1,000 blankets for $56 per unit? Support your answer with appropriate computations. c.Describe the qualitative factors that Levy Quilting Company should consider before accepting a special order to sell blankets to Rios Motels.