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It cost XYZ Company $48 of variable costs and $14 of allocated fixed costs...

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Accounting

It cost XYZ Company $48 of variable costs and $14 of allocated fixed costs tp produce an industrial trash can that sells for $80. A buyer in Mexico offers to purchase 2,400 units at $28 each. XYZ Company has excess capacity and can handle the additional production. What effect will acceptance of the offer have on net income?


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