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QUESTION

(TCO H) Simpson Company manufactures and sells trophies for winners of athletic and other events.

The company has just received a special one-time order for 800 trophies at $30 each. For this particular order, no variable selling and administrative costs would be incurred. This order would also have no effect on fixed costs.Required:Prepare the special order analysis.

Should the company accept this special order? Provide numerical support for your decision.

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