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Business, 02.07.2019 21:20 slavenkaitlynn

Delta company produces a single product. the cost of producing and selling a single unit of this product at the company’s normal activity level of 93,600 units per year is: direct materials $ 1.90 direct labor $ 2.00 variable manufacturing overhead $ 0.70 fixed manufacturing overhead $ 4.85 variable selling and administrative expenses $ 1.50 fixed selling and administrative expenses $ 1.00 the normal selling price is $19.00 per unit. the company’s capacity is 116,400 units per year. an order has been received from a mail-order house for 1,900 units at a special price of $16.00 per unit. this order would not affect regular sales or the company’s total fixed costs. required: 1. what is the financial advantage (disadvantage) of accepting the special order

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