Business, 30.07.2021 02:30 iluvdolantwins
Minor Electric has received a special... Minor Electric has received a special one-time order for 1,500 light fixtures (units) at $11 per unit. Minor currently produces and sells 7,500 units at $12.00 each. This level represents 75% of its capacity. Production costs for these units are $13.50 per unit, which includes $9.00 variable cost and $4.50 fixed cost. To produce the special order, a new machine needs to be purchased at a cost of $625 with a zero salvage value. Management expects no other changes in costs as a result of the additional production. If Minor wishes to earn $1,075 on the special order, the size of the order would need to be:.
a. 3,400 units
b. 683 units
c. 1,700 units
d. 136 units
e. 850 units
Answers: 3
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Minor Electric has received a special... Minor Electric has received a special one-time order for 1,...
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