Minor Electric has received a special one-time order for 1,200 light fixtures (units) at $6 per unit. Minor currently produces and sells 6,000 units at $7.00 each. This level represents 75% of its capacity. Production costs for these units are $6.00 per unit, which includes $4.00 variable cost and $2.00 fixed cost. To produce the special order, a new machine needs to be purchased at a cost of $500 with a zero salvage value. Management expects no other changes in costs as a result of the additional production. If Minor wishes to earn $700 on the special order, the size of the order would need to be:

Multiple Choice

• 300 units.

• 2,400 units.

• 600 units.

• 1,200 units.

• 200 units.