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9 Goshford Company produces a single product and has capacity to produce 175,000 units per month. Costs to produce its current sales of 140,000 units

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9 Goshford Company produces a single product and has capacity to produce 175,000 units per month. Costs to produce its current sales of 140,000 units follow. The regular selling price of the product is $128 per unit. Management is approached by a new customer who wants to purchase 35,000 units of the product for $79.20 per unit. If the order is accepted, there will be no additional fixed manufacturing overhead and no additional fixed selling and administrative expenses. The customer is not in the company's regular selling territory, so there will be a $5.80 per unit shipping expense In addition to the regular variable selling and administrative expenses. 112 points - Direct materiais Direct labor Variable manufacturing overhead Fixed manutacturing overhead Variable selling and administrative expenses Pixed selling and administrative expenses Totals Costs at Per Unit 140,000 Units $12.50 $1,750,000 15.00 2.100.000 14.00 1,960,000 17.50 2.450,000 14.00 1,960,000 15.00 2,100,000 588.00 312,320,000 Hint Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $79.20 per unit. Determine whether management should accept or reject the new business References Complete this question by entering your answers in the tabs below. Net Income Accept or Reject Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $79.20 per unit Normal Volume Additional Volume Combined Total Costs and expenses Total costs and expenses Net income loss) Chapter 25 Homework forded) 9 112 point Goshford Company produces a single product and has capacity to produce 175,000 units per month Costs to produce its current sales of 140,000 units follow. The regular selling price of the product is $128 per unit Management is approached by a new customer who wants to purchase 35,000 units of the product for $7920 per unit. If the order is accepted, there we be no additionalised manufacturing overhead and no additional fixed selling and administrative expenses. The customer is not in the company's regular selling territory, so there will be a $5.80 per unit shipping expense in addition to the regular variable selling and administrative expenses Direct materia Direct labor Variable nanufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses Totale Coate at Pe Unit 140.000 UN 912.50 $1,750,000 15.00 2,100,000 14.00 1,960,000 17.50 2,450,000 14.00 1.960,000 15.00 2.100.000 S88.00 $11.120.000 Print Rece Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $79.20 per unit, Determine whether management should accept or reject the new business. Complete this question by entering your answers in the tabs below. Net Income Acceptor Reject Determine whether management should accept or reject the new business. Determine whether management should accept or reject the new business

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