Cane Company manufactures two products called Alpha and Beta that sell for $125 and $85, respectively. Each product uses only one type of raw material that costs $6 per pound. The company has the capacity to annually produce 101,000 units of each product. Its unit costs for each product at this level of activity are given below:

	Alpha				Beta
Direct materials		$	30			$	12
Direct labor			21				20
Variable manufacturing overhead			8				6
Traceable fixed manufacturing overhead			17				19
Variable selling expenses			13				9
Common fixed expenses			16				11
Total cost per unit		$	105			$	77

The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are deemed unavoidable and have been allocated to products based on sales dollars.

Question :

Assume that Cane expects to produce and sell 96,000 Alphas during the current year. One of Cane's sales representatives has found a new customer that is willing to buy 11,000 additional Alphas for a price of $84 per unit. If Cane accepts the customer