Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

answer HEAT NET SOURCES > Waterways Continuing Problem 07 (Part 1) Waterways mass produces a special connector unit that normally sells for $3.90. It sells

answer image text in transcribed
HEAT NET SOURCES > Waterways Continuing Problem 07 (Part 1) Waterways mass produces a special connector unit that normally sells for $3.90. It sells approximately 37.500 of these units each year. The variable costs for each unite 12. 20. A company Canada that has been unable to produce enough of a similar connector to meet customer demand would like to buy 15,300 of these units at $2.50 per unit. The production of these uns in near Capacity at Waterways, so to accept the offer from the Canadian company would require temporarily adding another shift to its production line. To do this would increase table manufacturing cats try 10.30 per unit. However, variable selling costs would be reduced by $0.20 a unit. An irrigation company has asked for a special order of 1,900 of the connectors. To meet this special order, Waterways would not need an additional shit, and the rigation comes wing tay $3.00 per unit Study What are the consequences of Waterways agreeing to provide the 15,300 units to the Canadian company would this be a wise special order to accept? Waterwys sccept the special order because not income Should Waterways accept the special order from the Irrigation company? waterway accept the specat order because not income What would be the counces of accepting both special orders . Accepting both special ders would net income by AU 10.2000: I. A AWAI MacBook Pro Search or enter website name 1 0 & 7 . 4 5 0) 8 2 0 U w Y E R T

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Practicing Statistics Guided Investigations For The Second Course

Authors: Shonda Kuiper, Jeff Sklar

1st Edition

9780321586018

Students also viewed these Accounting questions