Accept Business at Special Price

A product is normally sold for $$45$ per unit. A special price of $$32$ is offered for the export market. The variable production cost is $$22$ per unit. An additional export tariff of $16\%$ of revenue must be paid for all export products. Assume there is sufficient capacity for the special order.

a$.$ Prepare a differential analysis dated December $15$ on whether to reject $($Alternative $1)$ or accept $($Alternative $2)$ the special order. If required, round your answers to two decimal places. If an amount is zero, enter $"0".$

Differential Analysis

Reject $($Alt$.1)$ or Accept $($Alt$.2)$ Order

December $15$

$\backslash$table$[[$Dece$,$mber $15,,],[$Line Item Description,$\backslash$table$[[$Reject$],[$Order$],[($Alternative $1]],\backslash$table$[[$Accept$],[$Order$],[($Alternative $2)]],\backslash$table$[[$Differential$],[$Effects$],[($Alternative $2)]]],[$Revenues$,$ per unit,$$,$$$,$$