It costs Oriole Company $26 per unit ($18 variable and $8 fixed) to produce its product, which normally sells for $38 per unit. A foreign wholesaler offers to purchase 5600 units at $21 each. Oriole would incur special shipping costs of $2 per unit if the order were accepted. Oriole has sufficient unused capacity to produce the 5600 units. If the special order is accepted, what will be the effect on net income
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Home » Business » It costs Oriole Company $26 per unit ($18 variable and $8 fixed) to produce its product, which normally sells for $38 per unit. A foreign wholesaler offers to purchase 5600 units at $21 each.