Zolas' Heaters Is Approached by Ms

question 48

Multiple Choice

Zolas' Heaters is approached by Ms.Leila,a new customer,to fulfill a large one-time-only special order for a product similar to one offered to regular customers.Zolas' Heaters has excess capacity.The following per unit data apply for sales to regular customers:

If Ms.Leila wanted a long-term commitment,and not a one-time-special order,for supplying this product,calculate the most likely price to be quoted assuming the markup remains the same?

• A)$790
• B)$590
• C)$520
• D)$1027

---

Definitions:

Acrosome

A cap-like structure over the anterior part of a sperm's head, containing enzymes that help the sperm penetrate the egg.

Sperm

Male reproductive cells designed for fertilization of the female ovum, contributing half of the genetic information to the offspring.

Egg

A reproductive cell produced by female organisms, capable of developing into a new individual upon fertilization.

Endoderm

Innermost primary tissue layer of an animal embryo that gives rise to the linings of the digestive tract and associated structures.