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Goshford Company produces a single product and has capacity to produce 100,000 units per month. Costs to produce its current sales of 80,000 units follow.
Goshford Company produces a single product and has capacity to produce 100,000 units per month. Costs to produce its current sales of 80,000 units follow. The regular selling price of the product is $100per unit. Management is approached by a new customer who wants to purchase 22,000 units of the product for $75 per unit. If the order is accepted, there will be no additional fixed manufacturing overhead, and no additional fixed selling and administrative
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