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Thornton Company manufactures a personal computer designed for use in schools and markets it under its own label. Thornton has the capacity to produce 4

Thornton Company manufactures a personal computer designed for use in schools and markets it under its own label. Thornton has the capacity to produce 44,000 units a year but is currently producing and selling only 11,000 units a year. The computer's normal selling price is $1,680 per unit with no volume discounts. The unit-level costs of the computer's production are $560 for direct materials, $210 for direct labor, and $150 for indirect unit-level manufacturing costs. The total product- and facility-level costs incurred by Thornton during the year are expected to be $2,240,000 and $810,000, respectively. Assume that Thornton receives a special order to produce and sell 3,200 computers at $1,290 each.
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