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Batteries, Inc. manufactures and sells car batteries for 330 cach. Car Corp. has offered Batteries, Inc. $10 per battery for a one-time order of 1.100
Batteries, Inc. manufactures and sells car batteries for 330 cach. Car Corp. has offered Batteries, Inc. $10 per battery for a one-time order of 1.100 batteries. The total manufacturing cost per battery is $30 per unit.consisting of variable costs of $21 per battery and fixed overhead costs of $9 per battery. Assume that Batteries. Inc. has crces capacity and that the special pricing order would not adversely affect regular sales. What is the change in operating income that would result from accepting the special pricing order? A.Increase of S22.000 B. Decrease of $11,000 C. Increase of S20.900 D. None of the above
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