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A company has a capacity of producing 25,000 units. It sells 20,000 units at a selling price of 20 per unit locally. The variable cost

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A company has a capacity of producing 25,000 units. It sells 20,000 units at a selling price of 20 per unit locally. The variable cost per unit is OMR 8 and Fixed cost OMR 20,000. A foreign customer is willing to buy extra units of 5,000 units at OMR 5 per unit Suggest if you are a manager of that company, would you accept the foreign offer? a. Accepted b. Rejected c. Neither accept not reject d. None of these

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