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Zachary Company manufactures a personal computer designed for use in schools and markets it under its own label. Zachary has the capacity to produce 39,000

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Zachary Company manufactures a personal computer designed for use in schools and markets it under its own label. Zachary has the capacity to produce 39,000 units a year but is currently producing and selling only 16,000 units a year. The computer's normal selling price is $1,800 per unit with no volume discounts. The unitlevel costs of the computer's production are $410 for direct materials, $270 for direct labor, and $150 for indirect unitlevel manufacturing costs. The total product and facilitylevel costs incurred by Zachary during the year are expected to be $2,100,000 and $806,000, respectively. Assume that Zachary receives a special order to produce and sell 3,160 computers at $1,300 each Required Calculate the contribution to prot from the special order. Should Zachary accept or reject the special order? Contribution to prot Should Zachary accept or reject the special order

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