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What is the differential cost from the acceptance of offer

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Question - Stryker Industries received an offer from an exporter for 23,000 units of product at $17 per unit. The acceptance of the offer will not affect normal production or domestic sales prices. The following data is available:

Domestic unit sales price $24

Unit manufacturing costs:   

Variable 10  

Fixed 3

What is the differential cost from the acceptance of the offer?

$552,000

$230,000

$69,000

$391,000

Reference no: EM131711415

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