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Direct materials $2.50 Direct labor $3.00 Variable manufacturing overhead $0.90 Fixed manufacturing overhead Variable selling and administrative expenses $2.00 Fixed selling and administrative expenses $2.00

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Direct materials $2.50 Direct labor $3.00 Variable manufacturing overhead $0.90 Fixed manufacturing overhead Variable selling and administrative expenses $2.00 Fixed selling and administrative expenses $2.00 The normal seling price is $19.00 per unit. The company's capacity is 136,800 units per year. An order has been received from a mail order house for 2400 units at a special price of $16.00 per unit. This order would not affect regular sales or the company's total fored Required: 1. What is the financial advantage disadvantages of accepting the special order? . 2. As a separate matter from the special order, assume the company's inventory includes 1000 units of this product that were produced last year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales of its current model. What unit cost is relevant for establishing a minimum selling price for these units? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required Required 2 What is the financial advantage (disadvantage of accepting the special order? Pinancial advantage S 8,039,040 Required 1 Required 2 > to search Check my work mode : This shows what is correct or incorrect for the work you have completed Direct materials $2.5e Direct labor $3.00 Variable manufacturing overhead Sa.se Fixed manufacturing overhead 4.65 Variable selling and administrative expenses $2.00 Fixed selling and administrative expenses $2.00 The normal selling price is $1900 per unit. The company's capacity is 136,800 units per year. An order has been received from a mall order house for 2.400 units at a special price of $16.00 per unit. This order would not affect regular sales or the company's total foed 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 1000 units of this product that were produced last year and that are interior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales of its current model. What unit cost is relevant for establishing a minimum selling price for these units? Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required Required 2 As a separate matter from the special order, assume the company's inventory includes 11.000 units of this product that were produced last year and that are interior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any effect on the sales of its current model What unit cost is relevant for establishing a minimum selling price for these units? (Found your answer to 2 decimal places) Show less 58.40 re to search

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