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Grouper Company incurs a cost of $35.44 per unit, of which $19.60 is variable, to...

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Accounting

Grouper Company incurs a cost of $35.44 per unit, of which $19.60 is variable, to make a product that normally sells for $57.82. A foreign wholesaler offers to buy 5,700 units at $30.41 each. Grouper will incur additional costs of $3.61per unit to imprint a logo and to pay for shipping. Compute the increase or decrease in net income Grouper will realize by accepting the special order, assuming Grouper has sufficient excess operating capacity. (If amount decreases net income then enter the amount using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Reject Accept Net Income Increase (Decrease)

Revenues ____0___ _________ _________________________ Costs ____0___ __________ _________________________

Net Income ____0___ __________ _________________________

Should Grouper Company accept the special order?

Grouper Company Should Accept the special order.

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