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(Click the icon to view the cost information.) Suppose McGregor Cruiselines wants to buy 4,700 vests from Buoy. Acceptance of the order will not require any variable selling and administrative expenses. The special order will not affect fixed expenses. The Buoy plant has enough unused capacity to manufacture the additional vests. McGregor Cruiselines has offered $5 per vest, which is below the normal sale price of $15. Read the requirements. Requirement 1. Prepare an incremental analysis to determine whether Buoy should accept this special sales order. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a negative contribution margin and/or a decrease in operating income from the special order.) Incremental Analysis of Special Sales Order Decision Revenue from special order Less variable expense associated with the order: Variable manufacturing costs Contribution margin Less: Additional fixed expenses associated with the order Increase (decrease) in operating income from the special order Per Unit Total Order (4,700 units)

(Click the icon to view the cost inlontuation.) Read the reguirements negative contrbution margin andior a decreate in operating income trom the spectal order) Tetal Oeder Incremental Analysis of Special Sales Order Decibion Per Unit (4.700 units) Revenue from special order Less variatie expense associated with the order Variable manufacturing cests Contribution margin Lest: Additional flxed expenses associated with the order increase (decrease) in operating income from the special order (Click the icon to view the cost inlontuation.) Read the reguirements negative contrbution margin andior a decreate in operating income trom the spectal order) Tetal Oeder Incremental Analysis of Special Sales Order Decibion Per Unit (4.700 units) Revenue from special order Less variatie expense associated with the order Variable manufacturing cests Contribution margin Lest: Additional flxed expenses associated with the order increase (decrease) in operating income from the special order

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