Wheel Company makes a product, K9. It has a production capacity of 1,000 units, and it can sell 900 units in the regular market. The regular selling price is $60 each. Wheel has received a request from Tom for a special order of 100 units of K9. This special order does not incur any variable selling cost. The following is the per-unit cost information:

Variable manufacturing	$18
Fixed manufacturing	$20*
Unit manufacturing cost	$38
Variable selling	$4
Fixed selling	$8*
Unit selling cost	$12
Total cost	$50

* based on production and sales of 1,000 units

Tom wants to buy 100 units at a special price of 35 per unit. If Wheel accepts this order, Wheels income will:

	A.	increase by $900
	B.	increase by $1,300
	C.	decrease by $1,500
	D.	decrease by $1,100
	E.	increase by $1,700

Use the information given in the previous question. But assume that Wheel can sell all of 10,000 units in the regular market. Wheel does not want the company's profit to decline by accepting the order from Tom. Then, Wheel has to charge at least _____ to Tom for each unit of K9.

	A.	$24
	B.	$46
	C.	$56
	D.	$18
	E.	$60