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A company is considering a special order for 2,000 units to be priced at $18.90 (the normal price would be $21.50) .The order would require specialized materials costing $4.00 per unit.Direct labour and variable factory overhead would cost $2.15 per unit.Fixed factory overhead is $2.20 per unit.However,the company has excess capacity,and acceptance of the order would not raise total fixed factory overhead.The warehouse,however,would have to add capacity costing $2,600.Which of the following is relevant to the special order?
Median Income
The middle value of income in a list of numbers, where half of the income amounts are higher and half are lower.
Average Income
The median amount of income earned per individual or household in a specific area over a set period.
Debt Ceiling
The maximum amount of money the government is authorized to borrow without seeking approval from Congress.
Chapter 12
A chapter of the Bankruptcy Code specifically designed to address the financial restructuring of family farmers and fishermen.
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