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At Bargain Electronics, it costs $28 per unit ($15 variable and $13 fixed) to make an MP3 player that normally sells for $40. A
At Bargain Electronics, it costs $28 per unit ($15 variable and $13 fixed) to make an MP3 player that normally sells for $40. A foreign wholesaler offers to buy 3,000 units at $24 each. Bargain Electronics will incur special shipping costs of $1 per unit. Assuming that Bargain Electronics has excess operating capacity, indicate the net income (loss) Bargain Electronics would realize by accepting the special order. (Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses e.g. (45).) Revenues Costs-Variable manufacturing Shipping Net income The special order should be Reject Order $ $ Accept Order Net Income Increase (Decrease)
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