Assume there is sufficient capacity for the special order


Product T is normally sold for $9.60 per unit. A special price of $7.20 is offered for the export market. The variable production cost is $5.00 per unit. An additional export tariff of 15% of revenue must be paid for all export products. Assume there is sufficient capacity for the special order. How do i use differential analysis to find out if the additional business should be accepted or rejected?

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Managerial Accounting: Assume there is sufficient capacity for the special order
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