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Shenyang Company, which produces and sells a small digital clock, bases its pricing strategy on a 25 percent markup on total cost. Based on annual production costs for 12,000 units of product, computations for the sales price per clock follow.
Shenyang has excess capacity and receives a special order for 7,000 clocks for $28 each. Calculate the contribution margin per unit from the special order. (Omit the "$" sign in your response.)
Contribution margin per unit
$
Prepare a contribution margin income statement for the special order. (Input all amounts as positive values. Omit the "$" sign in your response.)
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