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CULT AUULAU natyan Sement ret UTAL AITUAL TULL Sales (240,000 units) $ 15.00 $3,600,000 Variable costs Direct materials 2.00 480,000 Direct labor Overhead Contribution

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CULT AUULAU natyan Sement ret UTAL AITUAL TULL Sales (240,000 units) $ 15.00 $3,600,000 Variable costs Direct materials 2.00 480,000 Direct labor Overhead Contribution margin Fixed costs Fixed overhead 4.00 2.58 960,000 600,000 6.50 1,560,000 2.00 480,000 Fixed general and administrative Income 1.50 $3.00 360,000 $720,000 The company receives a special offer for 24,000 units at $13 per unit. The additional sales would not affect its normal sales. Variable costs per unit would be the same for the special offer as they are for the normal units. The special offer would require incremental fixed overhead of $96,000 and incremental fixed general and administrative costs of $103,000. (a) Compute the income or loss for the special offer. (b) Should the company accept or reject the special offer? Complete this question by entering your answers in the tabs below. Required A Required B Compute the income or loss for the special offer. (Round your "Per Unit" answers to 2 decimal places.) SPECIAL OFFER ANALYSIS Contribution margin Per Unit Total 0.00 0 Prey 11 of 20 Next>

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