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Grant Industries, a manufacturer of electronic parts, has recently received an invitation to bid on a special order for 22.500 units of one of its

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Grant Industries, a manufacturer of electronic parts, has recently received an invitation to bid on a special order for 22.500 units of one of its most popular products. Grant currently manufactures 45.000 units of this product in its Loveland, Ohio, plant. The plant is operating at 50% capacity There will be no marketing costs on the special order. The sales manager of Grant wants to set the bid at $9 because she is sure that Grant will get the business at that price. Others on the executive committee of the firm object, saying that Grant would lose money on the special order at that price 45,000 67. see Units Manufacturing costs: Direct materials Direct labor Hactory ovechead talanufacturing costs hit cost $90,000 235,800 220, 5495,000 $135, cee 292, 5ee 337,500 5625.00 $ 11 5 10 Required 2. What is the relevant cost per unre What do you think the minimum short-term bid once per unit should be? What would be the impact on short-term operating income if the order is accepted at the price recommended by the sales manager? What would the total opportunity cost be if by accepting the special order the company lost sales of 6,300 units to its regular sustomer. Assume the preceding facts plus a normal selling price of $20 per unit. Complete this question by entering your answers in the tabs below. Required Required 4 What the grant cost per unit what do you think the minimum short-term ble price per unit should be? What would be the methos-term operating income if the order is accepted at the price recommended by the sales manager HO DIE Next > re to search e

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