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At A & B Electronics, it costs $98 per unit ( $68 variable and $30 fixed) to make a headphone that normally sells for $145.
At A \& B Electronics, it costs $98 per unit ( $68 variable and $30 fixed) to make a headphone that normally sells for $145. A foreign wholesaler offers to buy 1,000 units at $100 each. A&B Electronics will incur special shipping costs of $4 per unit. Assuming that A&B Electronics has excess operating capacity, indicate the net income (loss) A \& B Electronics would realize by accepting the special order. Hint: Fixed costs are not avoidable whether the special order is accepted or rejected. Therefore, they will not affect the company's net income. - Do NOT enter a dollar sign. For example, if you are typing $10,000 as your answer, answer should be typed as 10,000 without any dollar sign. - For any negative amounts, enter them using either a negative sign preceding the number such as 50 or parentheses such as (50). - If the amount is zero, enter 0
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