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It costs Coronado Company $26 per unit ($18 variable and $8 fixed) to produce its product, which normally sells for $38 per unit. A
It costs Coronado Company $26 per unit ($18 variable and $8 fixed) to produce its product, which normally sells for $38 per unit. A foreign wholesaler offers to purchase 4200 units at $21 each. Coronado would incur special shipping costs of $2 per unit if the order were accepted. Coronado has sufficient unused capacity to produce the 4200 units. If the special order is accepted, what will be the effect on net income? $75600 increase O $4200 increase O $12600 increase $4200 decrease
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