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Lemon Snacks produces 30,000 cases annually. Each case costs: Variable production: $16 Fixed production: $8 Variable selling: $5 Fixed selling/admin: $4 Total cost: $33 per

Lemon Snacks produces 30,000 cases annually. Each case costs:

Variable production: $16

Fixed production: $8

Variable selling: $5

Fixed selling/admin: $4

Total cost: $33 per case

Lemon Snacks marks up prices by 30% over full costs. The company can produce an additional 10,000 cases. A French retailer has offered to buy 8,000 cases at $45 per case with additional shipping and selling costs of $3 per case. Calculate the effect on Lemon's gross profit if it accepts this order.

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