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Question 20 6.4 pts Blakely Manufacturing produces a single product. The cost of producing and selling a single unit of this product at the company's
Question 20 6.4 pts Blakely Manufacturing produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 57,000 units per month is as follows: Per Unit Direct materials $51.10 Direct labor $9.80 Variable manufacturing overhead $2.80 Fixed manufacturing overhead $20.70 Variable selling & administrative expense $ 5.20 Fixed selling & administrative expense % 25.00 The normal selling price of the product is $120.10 per unit. An order has been received from an overseas customer for 3,700 units to be delivered this month at a special discounted price. This order would not change the total amount of the company's fixed costs. The variable selling and administrative expense would be $2.90 less per unit on this order than on normal sales. Direct labor is a variable cost in this company. Suppose there is ample idle capacity to produce the units required by the overseas customer and the special discounted price on the special order is $93.40 per unit. The monthly financial advantage (disadvantage) for the company as a result of accepting this special order should be
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