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5 of 5 < > View Policies Current Attempt in Progress -/3 E ThreePoint Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA).
5 of 5 < > View Policies Current Attempt in Progress -/3 E ThreePoint Sports Inc. manufactures basketballs for the Women's National Basketball Association (WNBA). For the first 6 months of 2020, the company reported the following operating results while operating at 80% of plant capacity and producing 118,700 units. Sales Cost of goods sold Amount $4,748,000 3,582,083 Selling and administrative expenses 503,262 Net income $662,655 Fixed costs for the period were cost of goods sold $960,000, and selling and administrative expenses $235,000. In July, normally a slack manufacturing month, ThreePoint Sports receives a special order for 10,000 basketballs at $28 each from the Greek Basketball Association (GBA). Acceptance of the order would increase variable selling and administrative expenses $0.77 per unit because of shipping costs but would not increase fixed costs and expenses. (a) & (b) (a) Prepare an incremental analysis for the special order. (Round all per unit computations to 2 decimal places, e.g. 15.25. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Question 5 of 5 < > -/3 E (a) & (b) (a) Prepare an incremental analysis for the special order. (Round all per unit computations to 2 decimal places, e.g. 15.25. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues Cost of goods sold Selling and administrative expenses Net income Reject Order (b) Should ThreePoint Sports Inc. accept the special order? eTextbook and Media Accept Order Net Income Increase (Decrease) $ $
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