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Business, 16.04.2020 17:31 mooncake9090

Zolas' Heaters is approached by Ms. Leila, a new customer, to fulfill a large oneminustimeminusonly special order for a product similar to one offered to regular customers. Zolas' Heaters has excess capacity. The following per unit data apply for sales to regular customers: Direct materials $ 490 Direct manufacturing labor 100 Variable manufacturing support 60 Fixed manufacturing support 200 Total manufacturing costs 850 Markup (30% of total manufacturing costs) 255 Estimated selling price $ 1 comma 105 If Ms. Leila wanted a longminusterm commitment, and not a oneminustimeminusspecial order, for supplying this product, calculate the most likely price to be quoted assuming the markup remains the same?

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