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Reuben's Deli currently makes rolls for deli sandwiches it produces. It uses 38,013 rolls annually in the production of deli sandwiches. The costs to
Reuben's Deli currently makes rolls for deli sandwiches it produces. It uses 38,013 rolls annually in the production of deli sandwiches. The costs to make the rolls are: Materials Labor Variable overhead Fixed overhead Costs Reuben's Deli cost data Amounts Increments $0.25 per roll 0.45 per roll 0.19 per roll 0.3 per roll A potential supplier has offered to sell Reuben the rolls for $0.87 each. If the rolls are purchased, 24% of the fixed overhead could be avoided. It Reuben accepts the offer, what will the effect on profit be? Do not round until the final calculation-then round to the nearest penny, two decimal places. If the effect is negative, use a dash-not parentheses (3
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