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Exercise 2 3 - 1 3 ( Algo ) Special offer pricing LO P 7 The company receives a special offer for 3 4 ,
Exercise Algo Special offer pricing LO P
The company receives a special offer for units at $ 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 $ and incremental fixed general and administrative costs of
$
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.
Compute the income or loss for the special offer. Round your "Per Unit" answers to
decimal places.
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