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Big Top has received a special order for 120 units of its product. The selling price of this special order is $1,850 per unit. Big

Big Top has received a special order for 120 units of its product. The selling price of this special order is $1,850 per unit. Big Top normally sells this product for $2,350 per unit and has the following cost structure:

Per unit
Direct materials $ 640
Direct labor 340
Variable manufacturing overhead 440
Fixed manufacturing overhead 540
Unit cost $ 1,960

Assume that Big Top has excess capacity to handle this special order. If Big Top accepts the order, how would the company's short-term profits change?

image text in transcribed
Stcoo heremet Ma hid decrema \$u1200 dociente 5+200 indeate

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