A toaster is manufactured at a variable cost of $15 per unit, fixed costs of...

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Accounting

A toaster is manufactured at a variable cost of $15 per unit, fixed costs of $11 per unit, and variable
selling costs of $3 per unit, and normally sells at $40 per unit. The company receives a special-order
request for 5,000 units and is willing to pay a price of $25 per unit. It will take an additional $2 per
unit for special packaging of the product. Would you accept or reject the special order? Show your
calculations, would accepting the order increase or decrease your net income? What other two
factors will influence your decision.
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