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Falcon Co. produces a single product. Its normal selling price is $27 per unit. The variable costs are $16 per unit. Fixed costs are $20,000

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Falcon Co. produces a single product. Its normal selling price is $27 per unit. The variable costs are $16 per unit. Fixed costs are $20,000 for a normal production run of 5,000 units per month. Falcon received a request for a special order that would not interfere with normal sales. The order was for 1,340 units with a special price of $21 per unit. Falcon has the capacity to handle the special order, and for this order, a variable selling cost of $2 per unit would be eliminated, If the order is accepted, what would be the impact on net income? Oa. increase of $12,194 Ob increase of 59,380 c. decrease of $5,628 Od increase of $7,504

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