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Able Companys unit manufacturing cost is: Variable Costs $50 Fixed Costs 25 A special order for 1,000 units has been received from a foreign company.
Able Company’s unit manufacturing cost is:
Variable Costs $50
Fixed Costs 25
A special order for 1,000 units has been received from a foreign company. The unit price requested is $55. The normal unit price is $80. If the order is accepted, unit variable costs will increase by $2 for additional freight costs. If the order is accepted, incremental profit (loss) will be which of the following? (Points: 4)
$(23,000)
$3,000
$(20,000)
$5,000
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