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Angel Corp, currently sells 100,000 units of its product. The company has revenue and costs as shown below: Per Unit $10.00 3.50 2.20 Sales Direct

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Angel Corp, currently sells 100,000 units of its product. The company has revenue and costs as shown below: Per Unit $10.00 3.50 2.20 Sales Direct Materials Direct Labor Factory Overhead Selling Expenses Administrative Expenses Total Expenses Operating Income 1.10 1.40 Total $1,000,000 350,000 220,000 110,000 140,000 80,000 $900,000 $100,000 0.80 $9.00 $1.00 The company is approached by an overseas operation that offers to purchase 10,000 units at $8.50 per unit. If Angel accepts the offer, total factory overhead will increase by $5,000; total selling expenses will increase by $2,000; and total administrative expenses will increase by $1,000. Should Angel Corp. accept this offer? Please show your work

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