Multiple Choice
The Buchanan Company has gathered the following information for a unit of its most popular product: The above cost information is based on 10,000 units.A distributor has offered to buy 2,000 units at a price of $32 per unit.The distributor claims this special order would not disturb regular sales at $42.Special packaging and other selling expenses would be an additional $0.50 per unit for the special order.How many units of regular sales could be lost before this contract is not profitable?
A) 0 units.
B) 950 units.
C) 1,000 units.
D) 2,000 units.
E) 10,000 units.
Correct Answer:

Verified
Correct Answer:
Verified
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