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Golden Age has an annual plant capacity of 25,000 units. Predicted data on sales and costs are given below: A special order has been received

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Golden Age has an annual plant capacity of 25,000 units. Predicted data on sales and costs are given below: A special order has been received for 4,000 units at a selling price of $45 each; sales commissions would drop by $.50 per unit. A manager on your team suggested that the special-order price is too low and if accepted would cause short-term profit to decrease. Explain if you agree or disagree with your colleague. Will Golden Age's short-term profit decrease? How does excess capacity factor into your response

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