Two months ago, Air-tite Corporation purchased 4,600 pounds of Hydrol, paying $16,100. The demand for this product has been very strong since the acquisition, with the market price jumping to $4.15 per pound. (Air-tite can buy or sell Hydrol at this price.) The company recently received a special-order inquiry, one that would require the use of 4,000 pounds of Hydrol. Which of the following is (are) relevant in deciding whether to accept the special order?
A. The $4.05 market price.
B. The $3.40 purchase price.
C. 6,000 pounds of Hydrol.
D. Two or more of the above factors are relevant.
Answers: 2
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Two months ago, Air-tite Corporation purchased 4,600 pounds of Hydrol, paying $16,100. The demand fo...
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