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Use this information for Stryker Industries to answer the question that follow. Stryker Industries received an offer from an exporter for 21,000 units of product

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Use this information for Stryker Industries to answer the question that follow. Stryker Industries received an offer from an exporter for 21,000 units of product at $16 per unit. The acceptance of the offer will not affect normal production or domestic sales prices. The following data are available: $24 Domestic unit sales price Unit manufacturing costs 13 Variable 6 Fixed What is the amount of income or loss from the acceptance of the offer? a. $504,000 loss Ob. $273,000 loss Oc. $63,000 income Od. $336,000 income Starling Co. is considering disposing of a machine with a book value of $22,900 and estimated remaining life of five years. The old machine can be sold for $5,400. A new high-speed machine can be purchased at a cost of $70,000. It will have a useful life of five years and no residual value. It is estimated that the annual variable manufacturing costs will be reduced from $22,800 to $19,800 if the new machine is purchased. The differential effect on income for the new machine for the entire five years is a(n) a. increase of $49,600 b. increase of $64,480 c. decrease of $64,480 Od. decrease of $49,600

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