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Question 1 At Bargain Electronics, it costs $30 per unit ($20 variable and $10 fixed) to make an MP3 player that normally sells for $55.
Question 1 At Bargain Electronics, it costs $30 per unit ($20 variable and $10 fixed) to make an MP3 player that normally sells for $55. A foreign wholesaler offers to buy 4,960 units at $24 each. Bargain Electronics will incur special shipping costs of $3 per unit. Assuming that Bargain Electronics has excess operating capacity, indicate the net income (loss) Bargain Electronics would realize by accepting the special order. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Reject Order Accept Order Net Income Increase (Decrease) 0 24 24 Revenues $ $ $ Costs-Variable manufacturing 0 20 20 Shipping 0 3 3 0 1 1 Net income $ $ The special order should be accepted v Click if you would like to Show Work for this question: Open Show Work Question Attempts: 0 of 1 used
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