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Mango Delights : Produces 80,000 cases annually Variable production costs: $18 /case Fixed production costs: $9 /case Variable selling costs: $6 /case Fixed selling/admin costs:

Mango Delights:

Produces 80,000 cases annually

Variable production costs: $18/case

Fixed production costs: $9/case

Variable selling costs: $6/case

Fixed selling/admin costs: $2/case

Total costs: $35/case

Marks up prices 35%. Capacity: 25,000 more cases. Chinese market offers 20,000 cases at $45/case. Extra costs: $3.50/case. Prepare the statement of cash flows reflecting this transaction.

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