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It costs Sheffield Corp. $12 of variable and $5 of fixed costs to produce one scale which normally sells for $50. A foreign wholesaler offers

It costs Sheffield Corp. $12 of variable and $5 of fixed costs to produce one scale which normally sells for $50. A foreign wholesaler offers to purchase 3200 scales at $15 each. Garner would incur special shipping costs of $1 per scale if the order were accepted. Sheffield has sufficient unused capacity to produce the 3200 scales. If the special order is accepted, what will be the effect on net income? $57600 decrease $6400 decrease $48000 increase $6400 increase
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It costs Sheffield Corp. $12 of variable and $5 of fixed costs to produce one scale which normally sells for $50. A foreign wholesaler offers to purchase 3200 scales at $15 each. Garner would incur special shipping costs of $1 per scale if the order were accepted. Sheffield has sufficient unused capacity to produce the 3200 scales. If the special order is accepted, what will be the effect on net income? $57600 decrease $6400 decrease $48000 increase $6400 increase

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