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Q:Great Falls Brewery's regular selling price for a case of beer is $15. Variable costs are $8 per case, and fixed costs total $2 per case, based on production of 250,000 cases. The fixed costs remain unchanged within a relevant range of 50,000 to 300,000 cases. After sales of 180,000 cases were projected for the year, a special order was received for an additional 30,000 cases.
Calculate Great Falls Brewery's minimum acceptable selling price for the special order of 30,000 cases.
I'm not sure how to do Special Order questions when the selling price isn't given and it wants you to calculate it. Any help is greatly appreciated as well as an explanation if you don't mind!
Calculate Great Falls Brewery's minimum acceptable selling price for the special order of 30,000 cases.
I'm not sure how to do Special Order questions when the selling price isn't given and it wants you to calculate it. Any help is greatly appreciated as well as an explanation if you don't mind!
Help with Man. Accounting: Minimum Acceptable Selling Price?
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