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Currently, Mathew owns a Dice manufacturing company and sells each pack of dice for $12 per unit with a COGS of $4 per unit of
Currently, Mathew owns a Dice manufacturing company and sells each pack of dice for $12 per unit with a COGS of $4 per unit of which $2 relates to fixed overhead. Selling costs are $4 per unit of which $1 is fixed. If Mathew accepts the order the company would not have to pay selling costs but they will incur a shipping cost of $.50 per unit. Mathew is currently selling 30,000 units. Mathew receives a special order to sell 2,000 units at $8 per unit. There will be an extra $.50 variable cost per unit. If Mathew accepts the special order how much will income be affected? O Income will decrease by 6,000 O Income will increase by 6,000 O Income will increase by 10,000 O Income will decrease by 10,000
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