Question
1.Waterloo Co. sells product P-14 at a price of $49a unit. The per-unit cost data are direct materials $16, direct labour $12, and overhead $16(75%
1.Waterloo Co. sells product P-14 at a price of $49a unit. The per-unit cost data are direct materials $16, direct labour $12, and overhead $16(75% variable). Waterloo Co. has sufficient capacity to accept a special order for39,100units, but at a discount of 25% from the regular price. Selling costs associated with this order would be $4per unit. Determine whether Waterloo Co. should accept the special order.(Enter loss with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).)
Incremental income (loss)
$..............??
Waterloo Co.(SHOULD / SHOULD NOT) ACCEPT THIS ORDER
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