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The XYZ Company produces and sells a product directly to consumers at a price of 6TL per unit. Sales have been increasing at 10 percent

The XYZ Company produces and sells a product directly to consumers at a price of 6TL per unit. Sales have been increasing at 10 percent per month, and this trend is expected to continue. Average variable costs are expected to remain constant at the current levels. The company's maximum output capacity is 200,000 with the present investment in plant and equipment. The following is a summary of the firm's October production and cost levels: October Sales (units) 171,661 Mxaterials (TL) 211,143 Direct Labor (TL) 520,133 Office and Administration Salaries (TL) 64,000 Light and Heat (TL) 12,116 Other Fixed Expenses (TL) 24,680 A national mail-order company has asked XYZ to consider the following offer: 10,000 units of the product, to be ready at the end of November, at the price of 5TL per unit. Should XYZ accept the order from the mail-order company? Explain

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