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QS 23-15 Special offer LO P7 Radar Company sells bikes for $460 each. The company currently sells 4,050 bikes per year and could make as
QS 23-15 Special offer LO P7 Radar Company sells bikes for $460 each. The company currently sells 4,050 bikes per year and could make as many as 4,420 bikes per year. The bikes cost $225 each to make. $170 in variable costs per bike and $55 of fixed costs per bike. Radar received an offer from a potential customer who wants to buy 370 bikes for $440 each. Incremental fixed costs to make this order are $48,000. No other costs will change if this order is accepted Compute Radar's additional income (ignore taxes) if it accepts this order
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