X Requirement Mitchell has received an order for landscaping work from Carrie Corporation at $55 per hour that would require 2,900 hours of equipment time. Variable landscaping costs for the Carrie Corporation order are $52 per hour and variable marketing costs are 4% of revenues. Mitchell can either accept the Carrie offer in whole or reject it. Should Mitchell accept the offer? Print Done The Mitchell Company provides landscaping services to corporations and businesses. All its landscaping work requires Mitchell to use landscaping equipment. Its landscaping equipment has the capacity to do 10,500 hours of landscaping work. It currently anticipates getting orders that would utilize 9,500 hours of equipment time from existing customers. Mitchell charges $115 per hour for landscaping work. Cost information for the current expected activity level is as follows: Click the icon to view the cost information.) Read the requirement. Begin by completing an analysis, and start by showing the computation of the company's operating income without the special order. Next, calculate operating income with the special order, and then determine whether Mitchell should accept or reject the special order. with i Data Table Without One-Time Only Special Order One-Time Only Special Order $ 1,092,500 Relevant revenues Relevant variable costs: Landscaping costs Marketing costs Revenues ($115 x 9,500 hours) Variable landscaping costs (including materials and labor), which vary with the number of hours worked ($52 per hour x 9,500 hours) Fixed landscaping costs Variable marketing costs (4% of revenues) Fixed marketing costs 494,000 95,000 43,700 71,000 Total relevant costs Relevant operating income Total costs 703,700 $ 388,800 Mitchell should the special order from Carrie Corporation because operating income will Operating income by S Print Print Done Choose from any list or enter any number in the input fields and then continue to the next question. Save for Later