Use the Following Information for Questions
a Company's Unit $\begin{array}{l}\text { Variable costs }&\$75 \\\text { Fixed costs }&30\end{array}$

question 28

Multiple Choice

Use the following information for questions
A company's unit costs based on 100,000 units are: $\begin{array}{l}\text { Variable costs }&\$75 \\\text { Fixed costs }&30\end{array}$ The normal unit sales price per unit is $165. A special order from a foreign company has been received for 5,000 units at $135 a unit. In order to fulfill the order, 3,000 units of regular sales would have to be foregone.
-The incremental profit (loss) from accepting the order would be

• A) $30,000.
• B) $(150,000).
• C) $180,000.
• D) $(90,000).

---

Definitions:

Magma

Magma is molten rock beneath the Earth's surface, which can form igneous rocks upon cooling.

Igneous Rocks

Rocks formed through the cooling and solidification of magma or lava.

Sedimentary Rock

A type of rock that forms from the accumulation and cementation of mineral and organic particles, often in layered deposits.

Magma

Molten rock located beneath the surface of the Earth, which can form intrusive or extrusive igneous rocks upon cooling.