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Product R is normally sold for $52 per unit. A special price of $39 is...

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Accounting

Product R is normally sold for $52 per unit. A special price of $39 is offered for the export market. The variable production cost is $31 per unit. An additional export tariff of 25% of revenue must be paid for all export products. Assume there is sufficient capacity for the special order.

Prepare a differential analysis dated October 23, 2014, on whether to reject (Alternative 1) or accept (Alternative 2) the special order. Round your answers to two decimal places (e.g., 23.72, 25.00).

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