Yellco Inc., a toy manufacturer, provided the following information: Domestic unit sales price $50 Unit manufacturing costs:
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Question:
Yellco Inc., a toy manufacturer, provided the following information:
Domestic unit sales price | $50 |
Unit manufacturing costs: | |
Variable | 10 |
Fixed | 8 |
The company has received an offer from an exporter for 9,000 units of toys at $60 per unit. The additional business is not expected to affect the normal production or domestic sales prices of Yellco Inc. The company's differential revenue from the acceptance of the offer is _____.
a.$153,000
b.$90,000
c.$72,000
d.$378,000
Related Book For
Introduction to Accounting An Integrated Approach
ISBN: 978-0078136603
6th edition
Authors: Penne Ainsworth, Dan Deines
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