anjlieoutar4795
20.04.2021 •
Business
Rumba Dance Hall has offered to buy from Muy Bueno Bakery 100 of its chocolate cakes for $26 each. No variable selling costs would need to be paid, but special packaging of $140 will have to be added. Normally, Muy Bueno sells its cakes at $36 each. Its costs per cake are materials, $11; direct labor, $8; variable factory overhead, $2; fixed factory overhead, $3; and variable selling costs, $3. How much differential profit or loss will Muy Bueno make if it accepts this offer
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