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Solo Company is a small merchandising firm. During the next month, the company expects to sell 500 units. The company has the following revenue and cost structure
Selling price per unit $60
Cost per unit $15
Sales commissions 10% of sales
Advertising expense $5,000 per month
Administrative expense $3,000 per month plus 20% of sales
Prepare a differential analysis report, dated April 21 of the current year, on the proposal to sell at the special price and prepare a differential analysis report, dated March 12 of the current year, on the decision to make or buy Part Q.
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