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special orders, Managerial Accounting

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Issa Company manufactures a personal computer designed for use in schools and markets it under its own label. Issa has the capacity to produce 25000 units a year but is currently producing and selling only 15000 units a year. the computers normal selling price is $1600 per unit with no volume discounts. The unit-level costs of the computers production are $600 for direct materials, $300 for direct labor and $120 for indirect unit-level manufacturing costs. The total product-and facility-level costs incurred by Issa during the year are expected to be $2,100,000 and $800,000, respectively. Assume that Issa receives a special order to produce and sell $3000 computers at $1200 each. Should she accept or reject the special order and why?

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