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1. You make cars. The regular selling price is $12,000/unit. The unit cost (total cost per car) is $10,000/unit, which consists of direct materials $2,000/unit,

1. You make cars. The regular selling price is $12,000/unit. The unit cost (total cost per car) is $10,000/unit, which consists of direct materials $2,000/unit, direct labor $3,000/unit, variable overhead $1,000/unit, and fixed overhead $4,000/car. A car rental company wants to buy 300 cars at a discounted price of $9,000 per car. This is a one-time deal, i.e., a short-term decision. You have enough spare capacity to accommodate this special order. Should you accept the special order? How will it affect your profit?

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