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Carla Vista Company incurs a cost of $36 per unit, of which $21 is variable, to make a product that normally sells for $58. A
Carla Vista Company incurs a cost of $36 per unit, of which $21 is variable, to make a product that normally sells for $58. A foreign wholesaler offers to buy 6,400 units at $31 each. Carla Vista will incur additional costs of $4 per unit to imprint a logo and to pay for shipping. Compute the increase or decrease in net income Carla Vista will realize by accepting the special order, assuming Carla Vista has sufficient excess operating capacity. (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) Reject Accept Net Income Increase (Decrease) X Revenues Costs Net income Should Carla Vista Company accept the special order? Carla Vista company should accept the special order
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