The U.S. Army has approached Wildhorse Fiber and expressed an interest in purchasing 250,200 Y-Go undergarments...

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The U.S. Army has approached Wildhorse Fiber and expressed an interest in purchasing 250,200 Y-Go undergarments for soldiers in extremely warm climates. The Army would pay the unit cost for direct materials, direct labor, and variable manufacturing overhead costs. In addition, the Army has agreed to pay an additional $1.09 per undergarment to cover all other costs and provide a profit. Presently, Wildhorse Fiber is operating at 70% capacity and does not have any other potential buyers for Y-Go. If Wildhorse Fiber accepts the Army's offer, it will not incur any variable selling expenses related to this order. Prepare an incremental analysis for the Wildhorse Fiber. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues Variable costs: Direct materials Direct labor Variable overhead Total variable costs Net income $ Reject Order $ Should Wildhorse Fiber accept the Army's offer? Wildhorse Fiber should the Army's offer. Accept Order $ $ $ Net Income Increase (Decrease) The U.S. Army has approached Wildhorse Fiber and expressed an interest in purchasing 250,200 Y-Go undergarments for soldiers in extremely warm climates. The Army would pay the unit cost for direct materials, direct labor, and variable manufacturing overhead costs. In addition, the Army has agreed to pay an additional $1.09 per undergarment to cover all other costs and provide a profit. Presently, Wildhorse Fiber is operating at 70% capacity and does not have any other potential buyers for Y-Go. If Wildhorse Fiber accepts the Army's offer, it will not incur any variable selling expenses related to this order. Prepare an incremental analysis for the Wildhorse Fiber. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues Variable costs: Direct materials Direct labor Variable overhead Total variable costs Net income $ Reject Order $ Should Wildhorse Fiber accept the Army's offer? Wildhorse Fiber should the Army's offer. Accept Order $ $ $ Net Income Increase (Decrease)