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Cruise Company has the capacity to produce 18.000 units. It is currently selling 12.000 units of its only product for 580 per unit. Total costs

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Cruise Company has the capacity to produce 18.000 units. It is currently selling 12.000 units of its only product for 580 per unit. Total costs for the company are detailed below Direct materials $22.00 per unit Direct labor 58.00 per unit Variable manufacturing overhead 5600 per unit Variable selling expenses $4.00 per unit Total fixed manufacturing overhead $256.000 Totalfred selling expenses S80,000 A new customer, Nassau Company has offered to purchase 3.000 units at a price of $60 per unit. No selling costs would be incurred if this order is accepted, and sales to regular customers would not be affected. Should Cruise Company accept this special order? O No, because operating income would decrease by $24,000 Yes, because operating income would increase by $72,000 Yes, because operating income would increase by $60,000 No, because operating income would decrease by $148,000

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