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Relevant Cost Analysis for Special Pricing Decision : A company receives a special order for 2,000 units of a product at a price of $60
Relevant Cost Analysis for Special Pricing Decision: A company receives a special order for 2,000 units of a product at a price of $60 each. The variable cost per unit is $40, and fixed costs are $20,000. However, accepting the special order would require additional overtime labor costing $5,000. Determine whether the company should accept the special order based on relevant costs.
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