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ProLight plans to sell 1,600 white lights that enhance indoor plant growth next year with total budgeted sales of $48,000 and estimated profit of $8,000.
ProLight plans to sell 1,600 white lights that enhance indoor plant growth next year with total budgeted sales of $48,000 and estimated profit of $8,000. Variable costs are projected to be $17.50 per unit. Customer A offers to pay $12,000 to buy 500 lights from ProLight. Total fixed costs are $12,000 per year. This offer does not affect ProLight's other planned operations. How much is the incremental revenue associated with the offer from Customer A?
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