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Should the below special order be accepted and how does it affect KPIs? Company had to lower their prices and sold 8,800 units while competitors
Should the below special order be accepted and how does it affect KPIs?
Company had to lower their prices and sold 8,800 units
while competitors charge $8,500 for basic units to $11,000 for prime. We secured a special order for 500 units at a price of $9,000/unit which is below our usual price to help with declining sale. We have sufficient capacity and I wonder if we are still making an incremental income on this order. We have some added costs for this order: logo $200/unit, and customizing for $20,000 total.
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