Question Two BJay Company makes a single product, baseball bases. The company has the capacity to produce 40,000 bases per year. Per-unit costs at that activity level follow: $20 $10 SS Direct Materials Direct Labour Variable Manufacturing Overhead Fixed Manufacturing Overhead Variable Selling Expense Fixed Selling Expense $ 7 $ 8 $ 2 The regular selling price for base unit is $60. A special order has been received from the Braves Company to purchase 8,000 units next year at 15% of the regular selling price. If this special order is accepted, the variable selling expense will be reduced by 25%. However, BJay would have to purchase a specialized machine to engrave the Braves logo into each product in the special order. This machine would cost $12,000, and there would be no use for it after the special order was filled. The total fixed costs, both manufacturing and selling, are constant within the relevant range of 30,000 to 40,000 baes per year. Assume direct labour is a variable cost. If BJay can expect to sell 32,000 bases next year through regular channels and the special order is accepted at 15% off the regular selling price, should they accept this special offer