Question: Please help me fill out the chart with the given information. Thank you! Radar Company sells bikes for $500 each. The company currently sells 4,400
Please help me fill out the chart with the given information. Thank you!
Radar Company sells bikes for $500 each. The company currently sells 4,400 bikes per year and could make as many as 4,750 bikes per year. The bikes cost $265 each to make: $180 in variable costs per bike and $85 of fixed costs per bike. Radar receives an offer from a potential customer who wants to buy 350 bikes for $470 each. Incremental fixed costs to make this order are $70 per bike. No other costs will change if this order is accepted. (a) Compute the income for the special offer. (b) Should Radar accept this offer? Radar Company sells bikes for $500 each. The company currently sells 4,400 bikes per year and could make as many as 4,750 bikes per year. The bikes cost $265 each to make: $180 in variable costs per bike and $85 of fixed costs per bike. Radar receives an offer from a potential customer who wants to buy 350 bikes for $470 each. Incremental fixed costs to make this order are $70 per bike. No other costs will change if this order is accepted. (a) Compute the income for the special offer. (b) Should Radar accept this offer
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