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ACBilco Manufacturing produces and sells oil filters for $325 each A retailer has offered to purchase 25.000 oil filters for $132 per filter. Of the

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ACBilco Manufacturing produces and sells oil filters for $325 each A retailer has offered to purchase 25.000 oil filters for $132 per filter. Of the total manufacturing cost per filter of $2.20, S1 20 is the vanable manufacturing cost per filter. For this special order, ACBilco would have to buy a special stamping machine that costs $9,000 to mark the customer's logo on the special order oil filters. The machine would be scrapped when the special order is complete. This special order would use manufacturing capacity that would otherwise be idle No Variable nonmanufacturing costs would be incurred by the special order Regular sales would not be affected by the special order. Would you recommend that ACBico accept the special order under these conditions? Complete the following incremental analysis to help you make your recommendation (Use parentheses or a minus sign to indicate a decrease in operating income from the special order) Total Order (25,000 units) Per Unit T Incremental Analysis of Special Sales Order Decision Revenue from special order Less variable expense associated with the order Contribution margin Increase (decrease) in operating income from the special order ACBilco accept the special sales order because it will operating income Choose from any list or enter any number in the input fields and then continue to the next

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