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Marlow Company Makes Bulk Quantities of Cleaning Fluids

question 56

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Marlow Company makes bulk quantities of cleaning fluids. They currently sell 1,200 containers a month at a price of $23.75 per unit. If they add a new scent, they could charge $25 per unit for the improved product. It would cost them a total of $800 per month to make that alteration. If they decide to process further, it will improve their operating income.


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