Question: At Sheridan Electronics, it costs $30 per unit ($20 variable and $10 fixed) to make an MP3 player that normally sells for $55. A foreign
At Sheridan Electronics, it costs $30 per unit ($20 variable and $10 fixed) to make an MP3 player that normally sells for $55. A foreign wholesaler offers to buy 4,960 units at $24 each. Sheridan Electronics will incur special shipping costs of $3 per unit. Assuming that Sheridan Electronics has excess operating capacity, indicate the net income (loss) Sheridan Electronics would realize by accepting the special order. (Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses es (451) Reject Order Accept Order Net Income Increase (Decrease) Revenues Costs - Variable manufacturing Shipping $ $ $ Net income The special order should be accepted
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