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Runner Corporation produces baseball bats for kids that it sells for $ 3 1 each. At capacity, the company can produce 4 8 , 0
Runner Corporation produces baseball bats for kids that it sells for $ each. At capacity, the company can produce bats a year. The costs of producing and selling bats are as follows: Click to view the costs. Read the requirements. Requirement Suppose Runner is currently producing and selling bats. At this level of production and sales, its fixed costs are the same as given in the preceding table. Ruth Corporation wants to place a onetime special order for bats at $ each. Runner will incur no variable selling costs for this special order. Should Runner accept this onetime special order? Show your calculations. Determine the effect on operating income if the order is accepted. Enter decreases in operating income with parentheses or a minus sign. Increase decrease in operating income if order is accepted Runner should Ruth's special order because it operating income by $
Runner Corporation produces baseball bats for kids that it sells for $ each. At capacity, the company can produce bats a year. The costs of producing and selling bats are as follows:
Click to view the costs.
Read the requirements.
Requirement Suppose Runner is currently producing and selling bats. At this level of production and sales, its fixed costs are the same as given in the preceding table. Ruth Corporation wants to place a onetime special order for bats at $ each. Runner will incur no variable selling costs for this special order. Should Runner accept this onetime special order? Show your calculations.
Determine the effect on operating income if the order is accepted. Enter decreases in operating income with parentheses or a minus sign.
Increase decrease in operating income if order is accepted
Runner should
Ruth's special order because it
operating income by $
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