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german
3 years ago
12

A company incurs costs of $75 ($67 variable and $8 fixed) to make a product that normally sells for $120. A customer offers to b

uy 4,200 units at $70 each. Assuming the company has adequate manufacturing capacity, it should? *
Business
1 answer:
elena-14-01-66 [18.8K]3 years ago
3 0

Answer:

C : accept the offer because it will produce net income of $12,600.

Explanation:

In this question we have to compare the cost which is presented below:

In the first case

The variable cost would be

= Number of units buys × variable cost per unit

= 4,200 units × $67

= $281,400

And, the selling cost would be

= Number of units sold × selling price per unit

= 4,200 units × $70

= $294,000

So, the difference would be

= $294,000 - $281,400

= $12,600

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What are the implications of using criteria, such as baldrige, in assessing organizational culture needs? explain
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7 0
2 years ago
Arthur, an Air Force major, received a permanent change of station transfer from Alabama to Spain. His spouse did not accompany
daser333 [38]

Answer:

$0

Explanation:

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Answer:

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Answer:

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