Question: Product R is normally sold for 52 per unit
Product R is normally sold for $ 52 per unit. A special price of $ 39 is offered for the export market. The variable production cost is $ 31 per unit. An additional export tariff of 25% of revenue must be paid for all export products. Assume there is sufficient capacity for the special order. Prepare a differential analysis dated October 23, 2014, on whether to reject (Alternative 1) or accept (Alternative 2) the special order.
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