Question: A print shop is considering whether it should accept a special order to print 10,000 copies of an announcement. Below are the costs associated with
A print shop is considering whether it should accept a special order to print 10,000 copies of an announcement. Below are the costs associated with this order: Paper cost: 10,000 sheets at $0.02 each Labor cost: 7 hours at $40 per hour Printing plate cost: $200 Printing press usage: $5 per hour Building depreciation: $10 for each direct labor hour worked on a job Managers salary: $30 per hour What is the minimum amount that this print shop should charge for this job in order to cover all differential costs
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