As the senior accountant at Shoes Unlimited (SU), which manufactures seasonal and sport shoes for men, women, and children, you are responsible for assisting with employee related questions. SU manufactures seasonal and sport shoes for men, women, and children in bulk quantity on the same type of product. However, Eryn Cain, sales department manager, is considering taking special orders in an effort to further advance sales. If this is possible, she would like to begin with the women sport shoes as a pilot project. The sport shoes itself would remain the same; however, the client would have the option of customizing certain features such as adding lettering.

Eryn has asked you: Can you explain if it is possible for production and accounting to manage the womens pilot project?

What type of processing (costing system) would this be called? Explain the process.

What would the difference in the costing system be, if any, from what it is now?

What additional documentation would be needed for the custom work?

Would you have any thoughts or concerns on this type of change in processing?

In consideration of the background, prepare a memo in a Word document to submit to the sales department manager, Eryn Cain, with a cc to the controller.