Wyco Company manufactures toasters. For the first 8 months of 2011, the company reported the following operating results while operating at 75% of plant capacity.


Sales (400,000 units)



Cost of goods sold



Gross profit



Operating expenses



Net income


Cost of goods sold was 70% variable and 30% fixed. Operating expenses were also 60% variable and 40% fixed.

In September, Wyco Company receives a special order for 40,000 toasters at $6.00 each from Salono Company of Mexico City. Acceptance of the order would result in $8,000 of shipping costs but no increase in fixed operating expenses.


Complete the incremental analysis for the special order. 

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