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Compute the increase or decrease in net income

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Reference no: EM13512498

Mann Company incurs a cost of $35 per unit, of which $20 is variable, to make a product that normally sells for $58. A foreign wholesaler offers to buy 6,000 units at $31 each. Mann will incur additional costs of $2 per unit to imprint a logo and to pay for shipping. Compute the increase or decrease in net income Mann will realize by accepting the special order, assuming Mann has sufficient excess operating capacity. Should Mann Company accept the special order?

Reference no: EM13512498

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