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Assume that xenon has sufficient capacity to fill the order

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Xenon has received a special order for 120 units of its product. The product normally sells for $2,900 and has the following manufacturing costs:

   Per unit
  Direct materials $630
  Direct labor 380
  Variable manufacturing overhead 480
  Fixed manufacturing overhead

1,210
       Total cost per unit

$2,700  

Assume that Xenon has sufficient capacity to fill the order without harming normal production and sales. What minimum price should Xenon charge to achieve a $15,600 incremental profit?

Reference no: EM13577939

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