Managers must often evaluate whether a special order should be accepted, and if the order is accepted, the price that should be charged. A special order is a one-time order that is not considered part of the company’ normal ongoing business. To illustrate, mountain goat cycles has just received a request from the Seattle police Department to produce 100 specially modified mountain bikes at a price of $588 each. The bikes would be used to patrol some of the more densely populated residential sections of the city. Mountain goat cycles can easily modify its City cruiser model to fit the specifications of the police. The normal selling price of the city cruiser bike is $ 698, and its unit product cost is $ 564 as shown below: