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3 16.66 points Radar Company sells bikes for $460 each. The company currently sells 4,050 bikes per year and could make as many as
3 16.66 points Radar Company sells bikes for $460 each. The company currently sells 4,050 bikes per year and could make as many as 4,360 bikes per year. The bikes cost $280 each to make: $190 in variable costs per bike and $90 of fixed costs per bike. Radar receives an offer from a potential customer who wants to buy 310 bikes for $430 each. Incremental fixed costs to make this order are $70 per bike. No other costs will change if this order is accepted. (a) Compute the income for the special offer. (b) Should Radar accept this offer? eBook (a) Special offer analysis Per Unit Total Hint Contribution margin Print Income References (b) The company should 0
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