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Minor Electric has received a special one-time order for 1200 light fixtures (units) at $10.00 per unit. Minor currently produces and sells 6000 units at

  1. Minor Electric has received a special one-time order for 1200 light fixtures (units) at $10.00 per unit. Minor currently produces and sells 6000 units at $11.00 each. This level represents 75% of its capacity. Production costs for these units are $12.00 per unit, which includes $8.00 variable cost and $4.00 fixed cost. To produce the special order, a new machine needs to be purchased at a cost of $600 with a zero salvage value. Management expects no other changes in costs as a result of the additional production. If Minor wishes to earn $1000 on the special order, the size of the order would need to be:

    1600 units.

    120 units.

    3200 units.

    800 units.

    650 units.

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