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PLEASE SHOW WORK! THANK YOU! Actra Company makes electric shavers. At a selling price of $20 per shaver, they have been selling 300,000 shavers per
PLEASE SHOW WORK! THANK YOU!
Actra Company makes electric shavers. At a selling price of $20 per shaver, they have been selling 300,000 shavers per period. The following information is available: $8.00 $1.00 Variable Costs per Shaver: Production Costs Selling and Admin Costs Fixed Costs per Period: Production Costs Selling and Admin Costs $600,000 $1,440,000 A well-known retailer has approached Actra and wants to purchase 30,000 shavers on a special order basis for $15 per shaver. The retailer will puts its brand name on the shavers, so Actra will not have any variable selling and administrative costs on the special order units (but will still have those costs on the regular demand). Actra's current maximum manufacturing capacity is 310,000 shavers. If Actra accepts the special order, net income will (type increase or decrease) by (type in your dollar amount of change)Step by Step Solution
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