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Current Attempt in Progress Sweet Acacia is the creator of Y-Go, a technology that weaves silver into fabrics to kili bacteria and odour on clothing

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Current Attempt in Progress Sweet Acacia is the creator of Y-Go, a technology that weaves silver into fabrics to kili bacteria and odour on clothing while mantaging heat. Y-Go has become very popular in undergarments for sports activities. Operating at capacity, the compary can produce 1.000,000 Y-Go undergarments each year. The per-unit and total costs for the undergarment are as follows: The Canadian Armed Forces (CAF) has approached Sweet Acacia and expressed an interest in purchasing 200,000 Y.Go undergarments for soldiers stationed in extremely warm climates. The CAF would pay the unit cost for direct materials, direct labrour; and variable manufacturing overhead costs. In addition, the CAF has agreed to pay an additional \$1 per undergarment to cover all other costs and provide a profit. Presently. Sweet Acacia is operating at 70% capacity and does not have any other potential buyers for Y-Go. If Sweet Acacia accepts the CAF's offer, it will not incur any variable selling expenses for this order. (a) Using incremental analysis, determine whether Sweet Acacia should accept the CAF's offer, (Round per unit calculations to 2 decimal ploces, es. 15.25 and final answers to O decimal places, es. 5, 275.) Incremental revenue Incremental cost: Variablecost Sweet Acacia should the Canadian forces' offer. Oriole College provides its own housekeeping services. The College director would like to outsource this service and has found a company that will provide the service for $51 per hour. The following intormation has been collected about the cost per hour to the college for performing its own houselceeping services: Determine whether Oriole College should outsource housekeeping assuming that 50% of fixed costs can be eliminated if the service is outsourced. (If an amount reduces the net income then enter with a negative sign preceding the number, eg- 15,000 or parenthesis, es. (15,000). While altemate opprooches are possible, irrelevant fuxed costs should be included in both aptions when solving this problemi.) NAGERIAL CHAPTER 7 Question 2 of 6 Direct labour Variable overhesd Fixed costs Purchase price Total cost Oriole College: outsource the services. Shamrock, Inc produces three separate products from a common process costing $100.100. Each of the products can be sold at the split-off point or can be processed further and then sold for a higher price. The cost and selling price data for a recent period are as follows: Determine the total net income if all products are sold at the iplit-olf point. Total net income eTextbook and Media

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