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Ch20 (Part 1) Hwk Question 7 of 7 < > - / 3.75 Current Attempt in Progress Moonbeam Company manufactures toasters. For the first
Ch20 (Part 1) Hwk Question 7 of 7 < > - / 3.75 Current Attempt in Progress Moonbeam Company manufactures toasters. For the first 8 months of 2017, the company reported the following operating results while operating at 75% of plant capacity: Sales (350,500 units) $4,375,000 Cost of goods sold 2,607,000 Gross profit 1,768,000 Operating expenses 840,000 Net income $928,000 Cost of goods sold was 65% variable and 35% fixed; operating expenses were 75% variable and 25% fixed. In September, Moonbeam Company receives a special order for 23,100 toasters at $7.85 each from Luna Company of Ciudad Juarez. Acceptance of the order would result in an additional $3,100 of shipping costs but no increase in fixed costs. (a) Prepare an incremental analysis for the special order. (Round computations for per unit cost to 4 decimal places, e.g. 15.2500 and all other computations and final answers to the nearest whole dollar, e.g. 5,725. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Net Income Ch20 (Part 1) Hwk Question 7 of 7 < > - / 3.75 == Prepare an incremental analysis for the special order. (Round computations for per unit cost to 4 decimal places, e.g. 15.2500 and all other computations and final answers to the nearest whole dollar, e.g. 5,725. Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues Cost of goods sold Operating expenses Net income Reject Order Accept Order $ $ $ $ $ $ (b) Should Moonbeam Company accept the special order? Moonbeam Company eTextbook and Media the special order. Net Income Increase (Decrease)
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