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I will rate!!! At the end of the year, a company offered to buy 4,950 units of a product from X Company for $11.00 each
I will rate!!!
At the end of the year, a company offered to buy 4,950 units of a product from X Company for $11.00 each instead of the company's regular price of $19.00 each. The following income statement is for the 64,200 units of the product that X Company has already made and sold to its regular customers: Sales Cost of goods sold Gross margin Selling and administrative costs Profit $1,219,800 576,516 $643,284 180,402 $462,882 For the year, fixed cost of goods sold were $129,684, and fixed selling and administrative costs were $92,448. The special order product has some unique features that will require additional material costs of $0.70 per unit and the rental of special equipment for $3,000. 4. Profit on the special order would beStep by Step Solution
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