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Radar Company sells bikes for $ 5 1 0 each. The company currently sells 4 , 1 5 0 bikes per year and could make

Radar Company sells bikes for $510 each. The company currently sells 4,150 bikes per year and could make as many as 4,480 bikes per year. The bikes cost $275 each to make: $180 in variable costs per bike and $95 of fixed costs per bike. Radar receives an offer from a potential customer who wants to buy 330 bikes for $470 each. Incremental fixed costs to make this order are $100 per bike. No other costs will change if this order is accepted.
(a) Compute the income for the special offer.
(b) Should Radar accept this offer?
\table[[(a) Special offer analysis,Per Unit,Total],[Fixed costs (incremental),$,470,$,155,100],[Variable costs,,180,,],[Contribution margin,$,290,,],[Fixed costs (incremental),,,,],[Income,,290,,]]
(b) The company should
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