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Business, 27.08.2019 22:30 tdyson3p6xvtu
Minor electric has received a special one-time order for 1,200 light fixtures (units) at $14 per unit. minor currently produces and sells 6,000 units at $15.00 each. this level represents 75% of its capacity. production costs for these units are $18.00 per unit, which includes $12.00 variable cost and $6.00 fixed cost. to produce the special order, a new machine needs to be purchased at a cost of $700 with a zero salvage value. management expects no other changes in costs as a result of the additional production. if minor wishes to earn $1,300 on the special order, the size of the order would need to be:
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Minor electric has received a special one-time order for 1,200 light fixtures (units) at $14 per uni...
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