Required information Problem $11-32($Algo$)$ Special Order $[$LO $11-2,11-8]$ Skip to question $[$The following information applies to the questions displayed below.$]$ Award Plus Company manufactures medals for winners of athletic events and other contests. Its manufacturing plant has the capacity to produce $10,000$ medals each month; current monthly production is $7,600$ medals. The company normally charges $$250$ per medal. Variable costs and fixed costs for the current activity level follow: $$Current Product CostsVariable costs$$Manufacturing$$Labor$ $380,000$Material$304,000$Marketing$190,000$Total variable costs$ $874,000$Fixed costs$$Manufacturing$ $280,000$Marketing$230,000$Total fixed costs$ $510,000$Total costs$ $1,384,000$ Award Plus has just received a special one$-$time order for $2,400$ medals at $$140$ per medal. For this particular order, no variable marketing costs will be incurred. Cathy Senna, a management accountant with Award Plus, has been assigned the task of analyzing this order and recommending whether the company should accept or reject it$.$ After examining the costs, Senna suggested to her supervisor, Gerard LePenn, who is the controller, that they request competitive bids from vendors for the raw materials because the current quote seems high. LePenn insisted that the prices are in line with those of other vendors and told her that she was not to discuss her observations with anyone else. Senna later discovered that LePenn is a brother$-$in$-$law of the owner of the current raw materials supply vendor.