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Rubio Corporation can only produce 15 desks per month and is currently producing and selling 12 desks per month and selling them for $250 each.
Rubio Corporation can only produce 15 desks per month and is currently producing and selling 12 desks per month and selling them for $250 each. The company is considering a special order that it received for 10 office desks at a selling price of $150 each. The controller has gathered the following data: Direct materials cost per desk Average hourly labor rate Direct labor hours per desk General and administrative expenses per order received Shipping cost per desk Overhead rates per direct labor hour: Variable Fixed $38.50 $ 7.00 7 $ 60 $ 25 $ 3.00 $ 2.00 REQUIRED: 1. What is the financial advantage (or disadvantage) of accepting the special order
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