Grapefruit Juice Delights manufactures 50,000 cases per year with costs:Variable production: $20/caseFixed production: $9/caseVariable selling: $7/caseFixed...
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Accounting
Grapefruit Juice Delights manufactures 50,000 cases per year with costs:
Variable production: $20/case
Fixed production: $9/case
Variable selling: $7/case
Fixed selling/admin: $5/case
Total costs: $41 per case. Grapefruit Juice marks up prices 30%. It can produce an extra 15,000 cases. A British company offers to buy 12,000 cases at $55/case with additional costs of $4/case. Determine the change in net income if the order is accepted.
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