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The management team of Novak Industries was evaluating its performance for the furst half of...

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Accounting

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The management team of Novak Industries was evaluating its performance for the furst half of the year. Production and sales of its fans were on budget at 3,200 units to date, with the following income statement reflecting its income for the first half of the year. Orders for the second half of the year were coming in slower than what the company had been expecting. When a new customer called and requested a special discount, the sales team listened. (a) Assume the customer requests 195 units in the special order and offers $53 per unit. Since the customer came directly to the company, no variable selling cost will be incurred. How much better or worse off will Novak Industries be if it accepts this special order, assuming it has enough idle capacity for the order? Novak Industries would be by $ by accepting this order

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