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ND Co. manufactures and sells trophies for winners of athletic and other events. Its manufacturing plant has the capacity to produce 11,000 trophies each month;
ND Co. manufactures and sells trophies for winners of athletic and other events. Its manufacturing plant has the capacity to produce 11,000 trophies each month; current monthly production is 8:S00 trophies. The company normally charges $87 per trophy. Cost data for the current level of production are shown below: The company has just received a special one-time order for 500 trophies at $50 each. For this particular order, no variable selling and administrative costs would be incurred. This order would also have no effect on fixed costs. Required: Should the company accept this special order? Why? Please show' your calculations
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