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Assume the current capacity to produce a certain product is 10,000 units. Currently we are operating at 8,000 units. This means The Company has opportunity
Assume the current capacity to produce a certain product is 10,000 units. Currently we are operating at 8,000 units. This means
The Company has opportunity cost of 2,000 units.
The company could accept a special order of up to 2,000 units before there would be an opportunity cost.
The company will have opportunity cost on any special order in accepts in this situation.
Which is correct of the following three options.
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