Example 4: Somesh of Agra presently operates its plant at 80% of the normal capacity to manufacture a produa only to meet the demand of Government of Tamilnadu under a rate contract. He supplies the product for 400000 and earns a profit margin of 20% on sales realization. Direct count per unit is constant. The indirect costs as per his budget projections are: Indirect Costs 20000 units 80% Capacity 22500 units 90% Capacity 25000 units 100% Capacity 80000 40000 80000 90000 42500 80000 Variable 7 100000 Semi-Variable 45000 Fixed 80000 He has received an export order for the product equal to 20% of its present operations. Addition packing charges on this order will be ? 1000. Arrive at the price to be quoted for the export order to put him a profit margin of 10% on the export price