Prepare analysis on per unit basis showing finished bookcase

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Chudrick Inc. makes unfinished bookcases that it sells for $62. Production costs are $36 variable and $10 fixed. Because it has unused capacity, Chudrick is considering finishing the bookcases and selling them for $70. Variable finishing costs are expected to be $7 per unit with no increase in fixed costs. Prepare an analysis on a per unit basis show- ing whether Chudrick should sell unfinished or finished bookcases.

Reference no: EM13888914

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