Question: When there is an excess capacity, it makes sense to accept a one - time - only special order for less than the current selling
When there is an excess capacity, it makes sense to accept a onetimeonly special order for less than the current selling price if:
aadditional fixed costs are incurred to accommodate the orderb.incremental revenue equals incremental operating incomec.the company placing the order is in the same market segment as your current customersd.incremental revenues exceed incremental costs
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