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Peach has received a special order for 15,000 units of its product. The product normally sells for $20 and has the following manufacturing costs: Per

Peach has received a special order for 15,000 units of its product. The product normally sells for $20 and has the following manufacturing costs:

Per unit
Direct materials $7
Direct labor 4
Variable manufacturing overhead 3
Fixed manufacturing overhead

3

Unit cost

$17

Assume that Peach has sufficient capacity to fill the order. What price should Peach charge to make a $15,000 incremental profit?

$15

$14

$20

$17

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