Problem: Module 6 Textbook Problem 4 Learning Objective: 6-2 Make appropriate special order decisions Solomon Company, which produces and sells a small digital clock, bases its pricing strategy on a 20 percent markup on total cost. Based on annual production costs for 10,000 units of product, computations for the sales price per clock follow. Unit-level costs Fixed costs Total cost (a) Markup (a * 0.20) Total sales (b) Sales price per unit (b + 10,000) $130,000 70,000 200,000 40,000 $240,000 $ 24 Required a. Solomon has excess capacity and receives a special order for 8,000 clocks for $18 each Calculate the contribution margin per unit Based on this, should Solomon accept the special order? b. Prepare a contribution margin income statement for the special order. Complete this question by entering your answers in the tabs below. Required A Required B Solomon has excess capacity and receives a special order for 8,000 clocks for $18 each. Calculate the contribution margin per unit. Based on this should Solomon accept the special order? Contribution margin per unit Should Solomon accept the special order? Required Required B > Complete this question by entering your answers in the tabs below. Required A Required B Prepare a contribution margin income statement for the special order. SOLOMON COMPANY Contribution Margin Income Statement