It costs Concord Corporation $12 of variable and $5 of fixed costs to produce one...
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Accounting
It costs Concord Corporation $12 of variable and $5 of fixed costs to produce one bathroom scale which normally sells for $35. A foreign wholesaler offers to purchase 2900 scales at $15 each. Concord would incur special shipping costs of $1 per scale if the order were accepted. Concord has sufficient unused capacity to produce the 2900 scales. If the special order is accepted, what will be the effect on net income?
A. $43500 increase
B.$5800 increase
C.$5800 decrease
D.$8700 decrease
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