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Blossom Company manufactures cappuccino makers. For the first eight months of 2022, the company reported the following operating results while operating at 80% of plant
Blossom Company manufactures cappuccino makers. For the first eight months of 2022, the company reported the following operating results while operating at 80% of plant capacity Sales (400,000 units) $72,000,000 Cost of goods sold 43,200.000 Gross profit 28,800,000 Operating expenses 19,200,000 Net income $9,600,000 An analysis of costs and expenses reveals that variable cost of goods sold is $95 per unit and variable operating expenses are $35 per unit 4 In September, Blossom Company receives a special order for 32,000 machines at $135 each from a major coffee shop franchise. Acceptance of the order would result in $8,000 of shipping costs but no increase in fixed expenses Prepare an incremental analysis for the special order. (Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses eg. (45). Do not leave for the amounts.) Save for Later BLOSSOM COMPANY Incremental Analysis Reject Order Accept Order Net Income Increase (Decrease) Attempts: 0 of 1 use
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