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Ivanhoe Inc manufactures basketballs for the Womer's National Basketball Association (WNBA). For the first 6 months of 2022 , the company reported the following operating
Ivanhoe Inc manufactures basketballs for the Womer's National Basketball Association (WNBA). For the first 6 months of 2022 , the company reported the following operating results while operating at 80% of plant capacity and producing 119.500 units. Foed costs for the period were cost of goods sold $960,000, and selling and administrative expenses $236,000. In July, normally a slack manufacturing month, Ivanhoe receives a special order for 10,000 basketballs at $27 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $0.77 per unit because of shipping costs but would not increase fixed costs and expenses. (b) Should lvanhoe Inc accept the special order
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