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Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall
Edition 9ISBN: 0073527068Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall
Edition 9ISBN: 0073527068 Exercise 102
Step-by-step solution
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Step 1 of 2
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a. | Revenue | $ 20.00 |
| Variable expense | (16.75) |
| Contribution margin per unit | $ 3.25 |
| Additional units sold if special order is accepted | 15,000 |
| Increase in contribution margin and operating income | $48,750 |
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b. | No, the order would probably have been refused because the "total cost" of $29.00 is more than the selling price for the special order. | |
Step 2 of 2
Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall
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