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Stavos Company's screen Division manufactures a standard screen for high-definition televisions (HDTVs). The cost per screen is: Variable cost per screen $124 Fixed cost per

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Stavos Company's screen Division manufactures a standard screen for high-definition televisions (HDTVs). The cost per screen is: Variable cost per screen $124 Fixed cost per screen Total cost per screen $153 *Based on a capacity of 810,000 screen per year. Part of the Screen Division's output is sold to outside manufacturers of HDTVs and part is sold to Stavos Company's Quark Division, which produces an HDTV under its own name. The Screen Division charges $197 per screen for all sales. The costs, revenue, and net operating income associated with the Quark Division's HDTV are given below: Selling price per unit $583 Variable costs per unit Cost of the screen 197 Variable cost of electronic parts Total variable cost 435 Fixed costs per unit Net operating income per unit *Based on a capacity of 220,000 units per year. The Quark Division has an order from an overseas source for 4,700 HDTVs. The overseas source wants to pay only $415 per unit. Required Assume that the Quark Division has enough idle capacity to fill the 4,700-unit order. s the division likely to accept the $415 price or to reject it? Accept O Reject

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