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Garfield Corporation is considering building a new plant in Canada. It predicts sales at the new plant to be 50,000 units at $7.00/unit. Below is

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Garfield Corporation is considering building a new plant in Canada. It predicts sales at the new plant to be 50,000 units at $7.00/unit. Below is a listing of estimated expenses: Materials Total Annual % of Annual Expense Category Expenses that are Fixed $90,000 20% Labor $50,000 30% Overhead $70,000 20% Marketing/Admin $30,000 60% A Canadian firm was contracted to sell the product and will receive a commission of 20% of the sales price. No U.S. home office expenses will be allocated to the new facility Admin How much does the Canadian contractor expect to make in commissions? $70,000 $10,000 O $350,000 $310,000

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