Question
Current Attempt in Progress La Mesa manufactures unpainted furniture for the do-it-yourself market. It currently sells a table for $72. Production costs are $41 variable
Current Attempt in Progress La Mesa manufactures unpainted furniture for the do-it-yourself market. It currently sells a table for $72. Production costs are $41 variable and $13 fixed. La Mesa is considering staining and sealing the table to sell it for $107. Variable costs to finish each table are expected to be $13, and fixed costs are expected to be $1. Prepare an analysis showing whether La Mesa should sell unpainted or finished tables. (If an amount reduces the net income then enter with a negative sign preceding the number, eg.-15,000 or parenthesis, eg. (15,000).) Net Income Increase (Decrease) Incremental revenue Incremental cost Increase (decrease) in contribution margin La Mesa $ process the tables further
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