Delta Company produces a single product. The cost of produeing und selling a single unit...
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Delta Company produces a single product. The cost of produeing und selling a single unit of this product at the company's normal activity level of 96,000 units per year ls: The normal selling price is $22.00 per unit. The company's capacity is 129,600 units per year An arder has been recelved from a mallorder house for 2,800 units at a special price of $19,00 per unit. This order would not affect regular sales ar the company's total fixed Required: 1. What is the financial advantage (disadvantage) of accepting the special order? 2 As a separate matter from the special order, assume the company's inventary includes 1,000 units of this product that were produced Inst year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales of its current madel. What unit cast is
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