XYZ Company incurs costs of $ 30 per unit ($18 variable and $12 fixed) to make a product that normally sells for $42. A

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XYZ Company incurs costs of $ 30 per unit ($18 variable and $12
fixed) to make a product that normally sells for $42. A
foreign wholesaler offers to buy 6,000 units at $26 each. The
special order results in additional shipping costs of $1 per
unit. Calculate the increase or decrease in net income the
company realizes by accepting the special order, assuming
they have excess operating capacity. Should the Company accept
the special order?
Select one:
a. XYZ should reject the special offer to avoid 42,000
loss.
b. XYZ should accept the offer to gain 24,000 net
income.
c. XYZ should accept the offer to gain 42,000 net
income.
d. XYZ should reject the special offer to avoid 24,000
loss.