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Delta Company produces a single product. The cost of producing and selling a single unit of this product ot the company's normal activity level of

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Delta Company produces a single product. The cost of producing and selling a single unit of this product ot the company's normal activity level of 90,000 units per year is: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead variable selling and administrative expenses fixed selling and adainistrative expenses The normal selling price is $19.00 per unit. The company's copacity is 117,600 units per year. An order has been received from a mail-order house for 2,300 units at a special price of $16.00 per unit. This order would not affect regular sales or total fixed costs. Required: 1. What is the financial advantage (disadvantage) of accepting the special order? 2. As a separate matter from the special order, assume the company's inventory includes 1,000 units that are inferior quality. The units must be sold through regular channels at a reduced price. The company does not expect the selling of these inferior units to affect regular sales. What unit cost is relevant for establishing a minimum selling price for the inferior units? Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required 1 What is the financial advantage (disadvantage) of accepting the special order? 1. What is the financlal advantage (disadvantage) of accepting the special order? 2. As a separate matter from the special order, assume the company's inventory includes 1,000 units that are inferior quality. The units must be sold through regular channels at a reduced price. The company does not expect the selling of these inferior units to affect regular sales. What unit cost is relevant for establishing a minimum selling price for the inferior units? Complete this question by entering your answers in the tabs below. As a separate matter from the special order, assume the company's inventory includes 1,000 units that are inferior quality. The units must be sold through regular chemneis at a reduced price. The company does not expect the selling of these inferior units to affect regular sales. What unit cost is relevant for establishing a minimum selling price for the inferior units? Note: Round your answer to 2 decimal places. Relevant cost per un Show less 4

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