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Waterloo Co. sells product P-14 at a price of $48 a unit. The per-unit cost...

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Accounting

Waterloo Co. sells product P-14 at a price of $48 a unit. The per-unit cost data are direct materials $15, direct labour $12, and overheads $12 (75% variable). Waterloo Co. has no excess capacity to accept a special order for 36,400 units, at a discount of 25% from the regular price. Selling costs associated with this order would be $3 per unit. Indicate net income(loss) that the company would realize by accepting this special order.

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