Wallyworld Company manufactures a product with the following costs per unit at the expected production level of 84,000 units: The company has the capacity to produce 90,000 units. The product regularly sells for $120. A wholesaler has Offered to pay $110 a unit for 7,500 units. If the special order is accepted, the effect on operating income would be a

A) $75,000 decrease. B) $429,000 increase. C) $249,000 increase. D) $495,000 increase.

Exam 17: Activity Resource Usage Model and Tactical Decision Making

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