Question: A company has two product lines: candy and chips. Information for the month of June is presented below: Candy Chips Units sold 5,000 8,000 Revenue

A company has two product lines: candy and chips. Information for the month of June is presented below:

Candy Chips
Units sold 5,000 8,000
Revenue $7,500 $16,000
Variable costs 4,000 8,800
Fixed costs 2,000 2,000
Net income (loss) $1,500 $ 5,200

A potential new customer has asked to buy 1,000 candy products and 1,500 chips products at 80% of the price paid by other customers.

Can I please get assistance on how to prepare an incremental analysis that will help the managers decide whether to accept the order from the customer? Thank you

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