Answer the Following Question(s)using the Information Below

question 126

Multiple Choice

Answer the following question(s) using the information below.Gerry's Generator Supply is approached by Mr.Gladstone, a new customer, to fulfill a large one-time-only special order for a product similar to one offered to regular customers.Gerry's Generator Supply has excess capacity.The following per unit data apply for sales to regular customers:

-If Mr.Gladstone wanted a long-term commitment for supplying this product, what price would most likely be quoted to him?

• A)$1,000
• B)$1,200
• C)$1,290
• D)$1,400
• E)$1,075

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