El Dugar Peach Ltd sells canned fruit for which the following information is given. The company has
Question:
El Dugar Peach Ltd sells canned fruit for which the following information is given.
The company has received orders for:
(i) 5000 cans of fruit at $16 000 per 1000 cans
(ii) 3000 cans of fruit at $14 100 per 1000 cans.
The additional production will not require any additional fixed expenses.
Required
State which of the two orders, if any, El Dugar Peach Ltd should accept.
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