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(CMA Adil pred 11.33 Special order Green Grow Inc. (GGD manufactures lawn fertilizer Because of the product's very high quality, GGI often receives special orders

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(CMA Adil pred 11.33 Special order Green Grow Inc. (GGD manufactures lawn fertilizer Because of the product's very high quality, GGI often receives special orders from agricultural research groups, For each type of fertilizer sold, each bag is carefully filled to have the precise mix of components advertised for that type of fertil- izer GGI's operating capacity is 22.000 one-hundred-pound bags per month, and it currently is selling 20,000 bags manufactured in 20 batches of I,000 bags each. The firm just received a request for a special order of 5,000 one-hundred-pound bags of fertilizer for $130,000 from APAC, a research organization. The production costs would be the same, but there ould be no variable selling costs. Delivery and other packaging and distribution services would cause a one-time S2 cost for GGI.The special order would be processed in two batches of 2.500 bags each. (No incremental batch-level costs are anticipated. following information is provided about GGI's current operations: Sales and production cost data for 20,000 bags, per bag: Sales price Variable manufacturing costs Variable selling Fixed manufacturing costs Fixed marketing costs

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