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Question 6 Ag5-y3R Company has just obtained a request for a special order of 10,000 units to be shipped at the end of the
Question 6 Ag5-y3R Company has just obtained a request for a special order of 10,000 units to be shipped at the end of the month at a selling price of $24 each. The company has a production capacity of 70,000 units per month. At present, the company is selling 64,000 units per month through regular channels at a selling price of $28 each. For these regular sales, the cost for one unit is: variable production costs fixed production costs variable selling expenses $6.20 $5.10 $4.50 Ag5-y3R Company will not incur any selling expenses on the special order units. However, the special order units will require an additional shipping cost of $0.80 per unit. Calculate the amount by which Ag5-y3R Company's net income will increase if they accept the special order. 5 pts
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