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Jacoby Company received an offer from an exporter for 29,600 units of product at $17...

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Accounting

Jacoby Company received an offer from an exporter for 29,600 units of product at $17 per unit. The acceptance of the offer will not affect normal production or domestic sales prices. The following data are available:

Domestic unit sales price $25
Unit manufacturing costs:
Variable $14
Fixed $4

What is the differential revenue from the acceptance of the offer?

a.$236,800

b.$503,200

c.$1,243,200

d.$740,000

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