Martin Company incurred the following costs for 70,000 units:

Variable costs $420,000
Fixed costs 392,000

Martin has received a special order from a foreign company for 3,000 units. There is sufficient capacity to fill the order without jeopardizing regular sales. Filling the order will require spending an additional $6,300 for shipping.

If Martin wants to break even on the order, what should the unit sales price be?

a) $11.60

b) $13.70

c) $6.00

d) $8.10

d) $8.10

Business

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