Grant Industries, a manufacturer of electronic parts, has recently received an invitation to bid on a special order for 25,500 units of one of its...

Required

1. What would be the Relevant cost per unit if the order is accepted at the price recommended by the sales manager? What do you think the minimum (short-term) bid price should be?

2. What would the total opportunity cost be if by accepting the special order the company lost sales of 6,900 units to its regular customers? Assume the preceding facts plus a normal selling price of $24 per unit.