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Vermillion Metal Works received an offer from a big-box retail company to purchase 3,480 metal outdoor tables for $248 each. Vermillion Metal Works accountants determine
Vermillion Metal Works received an offer from a big-box retail company to purchase 3,480 metal outdoor tables for $248 each. Vermillion Metal Works accountants determine that the following costs apply to the tables: Of the $81 of overhead, $16 is variable and $65 relates to fixed costs. The $65 of fixed overhead is allocated as $1.26 per direct labor dollar. (a) What will be the real effect on profit if the order is accepted? The profit will by $
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