Q1: MEC Corporation is running below its operating capacity and charges $25 per unit. To use some of the excess capacity and generate additional sales, they are looking at 2 special offers from customers. B Customer A is offering to purchase purchase 1200 units at $21 each. Customer B is offering to purchase 1000 units at $23 each. Variable costs are $13 per unit and no additional fixed costs would be added with either order. Which special offer, if any, should be accepted (we cannot do both orders) and why? 0 1 Decision: 234 Option A Option B

Q1: MEC Corporation is running below its operating capacity and charges $25 per unit. To use some of the excess capacity and generate additional sales, they are looking at 2 special offers from customers. Customer A is offering to purchase purchase 1200 units at $21 each. Customer B is offering to purchase 1000 units at $23 each. Variable costs are $13 per unit and no additional fixed costs would be added with either order. Which special offer, if any, should be accepted (we cannot do both orders) and why