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Anglen Company manufactures and sells trophies for winners of athletic and other events. Its manufacturing plant has the capacity to produce 1 9 , 6

Anglen Company manufactures and sells trophies for winners of athletic and other events. Its manufacturing plant has the capacity to produce 19,600 trophies each month; current monthly production is 16,320 trophies. The company normally charges $111.00 per trophy. Cost data for the current level of production are shown below:
Variable costs:
Direct materials $ 500,300
Direct labor $ 369,300
Selling and administrative $ 22,240
Fixed costs:
Manufacturing $ 413,440
Selling and administrative $ 78,080
The company has just received a special one-time order for 980 trophies at $51.20 each. For this particular order, no variable selling and administrative costs would be incurred. This order would also have no effect on fixed costs. Assume that direct labor is a variable cost.

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