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K The Himalaya Company provides landscaping services to corporations and businesses. All its landscaping work requires Himalaya to use landscaping equipment. Its landscaping equipment
K The Himalaya Company provides landscaping services to corporations and businesses. All its landscaping work requires Himalaya to use landscaping equipment. Its landscaping equipment has the capacity to do 11,000 hours of landscaping work. It is currently utilizing 10,500 hours of equipment time. Himalaya charges $110 per hour for landscaping work. Cost information for the current activity level is as follows: (Click the icon to view the cost information.) Read the requirement Begin by determining the change in operating income if Himalaya accepts the special order. (If an input field is not used in the table, leave the input field empty, do not select a label or enter a zero. Use parentheses or a minus sign to enter a decrease in operating income.) Revenues Less Variable landscaping costs 1180000 37500 Increase (decrease) in operating income by accepting the one-time special order Should Himalaya accept the special order from Lasell Corporation? Will operating income increase or decrease? By how much?
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