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Determine the differential cost from the acceptance of offer

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Reference no: EM13964849

A business received an offer from an exporter for 23,135 units of product at $17.00 per unit. The acceptance of the offer will not affect normal production or domestic sales prices. The following data are available:

Domestic unit sales price $25.00

Unit manufacturing costs:

Variable $14

Fixed $6

Determine the differential cost from the acceptance of the offer. Select the correct answer.

A$578,375.00

B$393,295.00

C$69,405.00

D$323,890.00

Reference no: EM13964849

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