A company is currently operating at 60% capacity producing 10,000 units.Cost information relating to this current production is shown in the following table:
The company has been approached by a customer with a request for a special order for 5,000 units.What is the minimum per unit sales price that management would accept for this order if the company wishes to increase current profits?
Definitions:
Gear Shift Lever
The component in a vehicle that the driver uses to select gears manually in a transmission system.
Detent Spring
A component used in mechanisms to keep an object in a predetermined position until enough force is applied to move it.
Yoke Seal Race
A sealing surface within a yoke mechanism, where a seal runs to prevent fluid or lubricant leakage.
Crocus Cloth
A fine-grained abrasive cloth used for polishing metal surfaces to a smooth finish, often employed in metalworking and finishing tasks.
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