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A company manufactures computers and provides the following cost information for the production of one computer: Direct materials $46 Direct labor 64 Variable manufacturing overhead

A company manufactures computers and provides the following cost information for the production of one computer:

Direct materials $46

Direct labor 64

Variable manufacturing overhead 48

Fixed manufacturing overhead 34

Total cost per unit 192

The $34amount reflects the amount of indirect cost allocated to each unit. However, as indicated, the total of these indirect costs is fixed.

The company has received a special order for 500 computers at a price of $175per unit.

By how much will overall company net income change if this order is accepted?

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