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2) Pharoah Company produces golf discs which it normally sells for $7 each... Please answer :) Pharoah also incurs 5% sales commission ($0.35) on each
2) Pharoah Company produces golf discs which it normally sells for $7 each...
Pharoah also incurs 5% sales commission (\$0.35) on each disc sold. McGee Corporation offers Pharoah $4,90 per disc for 4,700 discs. McGee would sell the discs under its own brand name in forelign markets not yet served by Pharoah. If Pharoah accepts the offer, its fixed overhead will increase from $45,066 to 550,726 due to the purchase of a new imprinting machine. No sales commssion wil result from the specal order. Prepare an incremental analysis for the special order. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheseseg. (45).) (b) Should Pharoah accept the special order Please answer :)
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