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Moonbeam Company manufactures toasters. For the first 8 months of 2020, the company reported the following operating results while operating at 75% of plant capacity:
Sales (358,400 units)$4,375,000
Cost of goods sold2,595,840
Gross profit1,779,160
Operating expenses837,76
0Net income$941,400
Cost of goods sold was 70% variable and 30% fixed; operating expenses were 80% variable and 20% fixed.
In September, Moonbeam receives a special order for 21,700 toasters at $7.97 each from Luna Company of Ciudad Juarez. Acceptance of the order would result in an additional $2,900 of shipping costs but no increase in fixed costs.
Question 1: Find with an incremental analysis of the above info
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