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A customer offers a special order of 5 , 0 0 0 units to XYZ Ltd . If the order is accepted, the fixed cost
A customer offers a special order of units to XYZ Ltd If the order is accepted, the fixed cost for XYZ Ltd would increase by $ and extra labour would require an overtime premium of However, discount can be availed for all material if order is accepted due to size of procurement XYZ Ltd currently makes units per annum and sells them at $ each The current operating performance details of the XYZ Lid. Is as follows: Sales units each: Material cost R Labour Rs; Fixed cost; Rs What is the total differential cost associated with the order?
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