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An apparel manufacturing plant has estimated the variable cost to be $2.50 per unit. Fixed costs are $1,800,000 per year. Forty percent of its business
An apparel manufacturing plant has estimated the variable cost to be $2.50 per unit. Fixed costs are $1,800,000 per year. Forty percent of its business is with one preferred customer and the customer is charged at cost. The remaining 60% of the business is with several different customers who are charged $50 per unit. If 100,000 total units are sold in a year, compute the unit cost per item
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