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A special order to purchase 20,000 units was recently received. There is enough capacity to fill the order and filling this order would not disrupt current operations. Tilma Company would incur an additional $3 per unit for shipping costs. 40% of the manufacturing overhead costs are fixed and would be incurred no matter how many units are produced. In negotiating a price, how much is the minimum acceptable selling price?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M949018

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