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A company has the capacity to produce 20,000 units of its product per year. It is currently only producing 13,000 units per year, with a
A company has the capacity to produce 20,000 units of its product per year. It is currently only producing 13,000 units per year, with a sell price of $70 per unit. A customer has placed a special order for 6,500 units at $62 per unit. The incremental cost of accepting the special order is $382,000. Should the company accept the special order?
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