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Gomez is in charge of procurement within the state of Michigan for the Army National Guard, and she has become aware of an opportunity to

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Gomez is in charge of procurement within the state of Michigan for the Army National Guard, and she has become aware of an opportunity to purchase some mysterious items known as "Rets which are definitely not made up and have some military applications. The firm which produces the Rets is operating below capacity, and Ms. Gomez has obtained production information for the Ret line from the firm. Reproduced below is the information Ms. Gomez has received. Units Sold Sales Variable Costs Contribution Margin 25,000 $1,250,000 750,000 500,000 450,000 50,000 Fixed Expenses Segment Operating Income Ms. Gomez reviews this data and offers to buy 5.000 Rets at a price of $40 per Ret. Assuming that this company has capacity to produce 5,000 more Rets, how much incremental NOI will they make if they accept Ms. Gomez's special order? Will they accept it? No, they will not accept as NOI will decrease by $40.000 Yes, they will accept, as NOI will increase by $50,000 Yes, they will accept, as NOI will increase by $40,000 No, they will not accept as NOI will decrease by $50.000 What is the minimum price per Ret that Ms. Gomez could offer to this company and still have her offer accepted

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