Business, 11.12.2019 02:31 CaleWort92

Rumba dance hall has offered to buy from muy bueno bakery 100 of its chocolate cakes for $25 each. no variable selling costs would need to be paid, but special packaging of $100 will have to be added. normally, muy bueno sells its cakes at $35 each. its costs per cake are:
materials, $12;
direct labor, $5;
variable factory overhead, $3;
fixed factory overhead, $2; and variable selling costs, $4.
1. how much net differential profit or loss will muy bueno make if it accepts this offer?

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