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Snyder, Inc., which has excess capacity, received a special order for 4,000 units at a price of $15 per unit. Currently, production and sales are
Snyder, Inc., which has excess capacity, received a special order for 4,000 units at a price of $15 per unit. Currently, production and sales are anticipated to be 10,000 units without considering the special order. Budget information for the current year follows. -Sales equal $190,000. -Less: Cost of goods equal $145,000. -Gross margin equal $45,000. Cost of goods sold includes $30,000 of fixed manufacturing cost. If the special order is accepted, the company's income will: A. increase by $2,000. B. decrease by $2,000, C. increase by $14,000. D. decrease by $14,000. E. change by some other amount
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