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Bradford Preston Sunglasses all for about 5150 per pair. Suppose the company noun the following werage cose perpen Click the icon to view the cost

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Bradford Preston Sunglasses all for about 5150 per pair. Suppose the company noun the following werage cose perpen Click the icon to view the cost information) Bradford Preston han enough ide capacity to accept a one-time only special ordee from Water Glauses for 18,000 pain of sunglasses et ses per pit Bradford Preston will not incur wey variabin marketing expenses to the order. Read the Gani Rendement 1. How word coepting the order affect Bradford Preston's operating income in addition to the special orders off on profis, what other penger term qualitativo) factors should Bradford Preston's managers consider in deciding whether to opt the order? Prepom an incrementalans to determine the special order's efect on aperiting income (Enter au for any zero balancen. Une parenthonos or a minus ign to indicate a decrease in conding income from the special order) Total Order Incremental Analysis of Special Sales Order Decision (18.000 units Revenue from special order Loss variable expense tocated with the order Per Unit Variable manufacturing costs Contribution margin Lasst Additional fund expenses associated with the order Increase (decrease in operating income from the special order lac Pd 0 Requirements rea se mon 1. How would accepting the order affect Bradford Preston's operating income? In addition to the special order's effect on profits, what other (longer-term qualitative) factors should Bradford Preston's managers consider in deciding whether to accept the order? 2. Bradford Preston's marketing manager, Jim Revo, argues against accepting the special order because the offer price of $68 is less than Bradford Preston's $93 cost to make the sunglasses. Revo asks you, as one of Bradford Preston's staff accountants, to explain whether his analysis is correct. Print Done er Lorder i Data Table 10 19 nca Direct materials.. $ 40 sic it . . Direct labor. ... Variable manufacturing overhead.. 10 Variable marketing expenses 4 25 Fixed manufacturing overhead $ 93 Total cost $2,000,000 total fixed manufacturing overhead + 80,000 pairs of sunglasses . Print Done

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