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#5. The following information was developed for Beta Companyfor theyear ended December 31,2018. Sales Variable Expenses Contribution Margin Fixed Expenses Net Income $1,000,000 $540,000 $460,000
#5. The following information was developed for Beta Companyfor theyear ended December 31,2018. Sales Variable Expenses Contribution Margin Fixed Expenses Net Income $1,000,000 $540,000 $460,000 $285,000 $175,000 Beta expected to sell 500,000 cans of fish food by the end of the year. The local conservation society asked Beta if they could supply 70,000 cans at $1 each Beta's CEO would like to help out but he is concerned about the impact on the bottom line. He asks you to prepare an analysis using the contribution margin technique (Special order technique) and provide him your recommendation. This is within Beta's capacity to fill Special Order 70,000 Units Without Special Order 500,000 Units With Special Order 570,000 Per Unit Sales Variable Expenses Contribution Margin Fixed Expenses Operating Income
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