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QUESTION 5 Swiss Watches Inc approaches Taiwan Watches Inc. with an inquiry about a special order. Taiwan Watches has excess capacity. The following information per
QUESTION 5 Swiss Watches Inc approaches Taiwan Watches Inc. with an inquiry about a special order. Taiwan Watches has excess capacity. The following information per unit data is given for sales to Taiwan's regular customers: Variable costs: Direct materials $200 Direct labour 55 Marketing costs 50 Variable overhead 105 Fixed costs: Manufacturing support 100 Marketing costs 80 Total costs 590 Markup (50%) 295 Targeted selling price $885 For Taiwan Inc., what is the minimum acceptable price of this special order? Taiwan Inc. will incur no variable marketing costs for this special order. O $350 $430 $360 $300 QUESTION 6 Hojnik Inc produces part ABC used in several of its engine models. Monthly production costs for 1,000 units are as follows
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