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Poppy has received a special order for 1,000 units of its product at a special price of $125. The product currently sells 18,000 units for

Poppy has received a special order for 1,000 units of its product at a special price of $125. The product currently sells 18,000 units for $150 and has the following manufacturing costs:

Per unit
Direct materials $ 45
Direct labor 30
Variable manufacturing overhead 35
Fixed manufacturing overhead 25
Unit cost $ 135

Assume that Poppy has sufficient capacity to fill the order without harming normal production and sales and all fixed overhead is unavoidable. a. If Poppy accepts the order, what effect will the order have on the companys short-term profit? Now assume that Poppy has sufficient capacity to fill 500 units of the order without harming normal sales. b. If Poppy accepts the order and fills it completely, what effect will the order have on the companys short-term profit?

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