Memory Division of Missing Byte,Inc

question 69

Multiple Choice

Memory Division of Missing Byte,Inc. The Memory Division of Missing Byte,Inc.produces a high-quality computer chip.Unit production costs (based on capacity production of 100,000 units per year) follow:
Refer to Memory Division of Missing Byte,Inc.Assume,for this question only,that the Memory Division is presently operating at a level of 80,000 chips per year.Accepting a "special order" on 2,000 chips at $88 will

• A)increase total corporate profits by $4,000.
• B)increase total corporate profits by $20,000.
• C)decrease total corporate profits by $14,000.
• D)decrease total corporate profits by $24,000.

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Definitions:

Easily Accessible

Something that can be reached or obtained with little effort or difficulty, often used in the context of information, locations, or services.

High-Grade Mineral

Minerals that contain a high percentage of a desired material, making them economically feasible to mine.

Economically Depleted

Refers to a condition where a resource has been exploited to the point where it is no longer profitable to extract or use.

Mineral Resource

Natural concentrations of minerals or, in some cases, organic material, that can be extracted and processed into useful products at a profit.