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Waterways mass produces a special connector unit that it normally sells for $4.20. It sells approxdmately 32,500 of these units each year. The variable costs

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Waterways mass produces a special connector unit that it normally sells for $4.20. It sells approxdmately 32,500 of these units each year. The variable costs for each unit are $2.20. A company in Canada that has been unable to produce enough of a similar connector to meet customer demand would like to buy 14,300 of these units at $2.50 per unit. The production of these units is near full capacity at Waterways, so to accept the offer from the Canadian company would require temporarily adding another shift to its production line. To do this would increase variable manufacturing costs by $0.30 per unit. However, variable selling costs would be reduced by $0.20 a unit. An irrigation company has asked for a special order of 2,000 of the connectors. To meet this special order. Waterways would not need an additional shift, and the irrigation company is willing to pay $3.00 per unit Your answer is correct What are the consequences of Waterways agreeing to provide the 14.300 units to the Canadian company? Would this be a wise "special order to accept? Waterways Increase by s accept the special order because net income 2860 should Your answer is partially correct. Should Waterways accept the special order from the irrigation company? by $ Increases 860 Waterways should accept the special order because net income - Your answer is partially correct What would be the consequences of accepting both special orders? net income by $ 2000 Accepting both special orders would increase Waterways is considering the replacement of an antiquated machine that has been slowing down production because of breakdowns and added maintenance. The operations manager estimates that this machine still has 2 more years of possible use. The machine produces an average of 60 units per day at a cost of $6.80 per unit, whereas other similar machines are producing twice that much. The units sell for $9.30, Sales are equal to production on these units, and production runs for 260 days each year. The replacement machine would cost $81,100 and have a 2-year life. Given the Information above, what are the consequences of Waterways replacing the machine that is slowing down production because of breakdowns? net loss Replacing the machine will result in a of 5 4000 Waterways should keep the old m e Textbook and Media Attempts unlimited whenit. Answer Suva forter

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