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Business, 27.11.2019 00:31 ayoismeisalex

Kasten, inc budgeted 10,000 widgets for production during 2013. kasten has capacity to produce 12,000 units. fied factory overhead is allocated to production. the following estimated costs were provided: direct material ($7.00/unit) $70,000direct labor ($15/hr x 2 hrs/unit) 300,000vairable manufacturing overhead )$4/unit) 40,000fixed factory overhead costs ($5/unit) 50,000total $460,000cost per unit = $461. kasten received an order for 1,000 units from a new customer in a country in which kasten has never done business. this customer has offered $43 per widget. should kasten accept the order? 2. kasten received an offer from another company to manufature the same quality widgets for $39. should kasten let someone else manufacture all 10,000 widgets and focus only on distribution?

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