Finn Flying Company produces and sells kites for $57. The company has the capacity to...
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Accounting
Finn Flying Company produces and sells kites for $57. The company has the capacity to produce 11,200 kites each period. At capacity, the costs assigned to each unit are as follows:
Unit-level costs
$37
Product-level costs
$22
Facility-level costs
$17
The company has received a special order for 260 kites. Assuming that no sales to regular customers will be lost if the order is accepted, at what selling price will the company be indifferent between accepting and rejecting the special order?
Multiple Choice
$37
$95
$100
Answer & Explanation
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