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Blossom Co. sells product P-14 at a price of $48 a unit. The per-unit cost data are direct materials $15, direct labour $12, and overhead
Blossom Co. sells product P-14 at a price of $48 a unit. The per-unit cost data are direct materials $15, direct labour $12, and overhead $12 (75% variable). Blossom has no excess capacity to accept a special order for 35,900 units, at a discount of 25% from the regular price. Selling costs associated with this order would be $3 per unit. Indicate the net income (loss) that Blossom would realize by accepting the special order. (Enter loss with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).) Incremental income (loss) $ Blossom Co. v the special order
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