Cranberry Has Received a Special Order for 100 Units of Its

question 21

Multiple Choice

Cranberry has received a special order for 100 units of its product at a special price of $2,100. The product normally sells for $2,800 and has the following manufacturing costs: Assume that Cranberry has sufficient capacity to fill the order without harming normal production and sales. If Cranberry accepts the order, what effect will the order have on the company's short-term profit?

• A) $42,000 decrease
• B) $42,000 increase
• C) $70,000 decrease
• D) $28,000 increase

Understand the physiological basis for infant behaviors, including sleep patterns and crying.

Comprehend the impact of external stimuli on infant learning and development.

Understand the law of demand and how price affects quantity demanded.

Comprehend the characteristics and implications of competitive markets.

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Definitions:

Excise Tax

A tax applied to specific goods, services, or activities, often to discourage their use or to raise government revenue.

Price Of Cigarettes

The cost that consumers pay to purchase cigarettes, which can vary widely based on taxes, manufacturing costs, and availability.

Supply Curve

A graph showing the relationship between the price of a good and the quantity of the good that suppliers are willing and able to produce at that price.

Equilibrium Level

The state in which market supply and demand balance each other, resulting in stable prices and quantities.