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Dont solve the entire problem. I just need help solving for requirment 1. Please show your work and the formulas used to solve! The Coel
Dont solve the entire problem. I just need help solving for requirment 1. Please show your work and the formulas used to solve! The Coel Can Compary manufactures drink koozies and has been approached by a new customer with an offer to purchase 15 ,000 units at a periunit price of s7.00. The netw customer is gengraphically separated from Cool Can's other customers, and oxisting salo5 wyl not be affected, Cool Can normally produces a2.000 units but plans to aroduce and sel aniy 65,000 in the camiag year. The normal sales price is $12 per unit. Unit cont Information is as followi: However, assuni that Cool Can plans to produce and sell 70,000 unts in the coen ing year (rather than the ariginaly anticipated 65,000 units). Required: 1. Using Excel (or some other spreadheet software tool), calculate the ambunt by which total operating income increases or decreases if ine order is accepted 2. Conceptual Cannectioni Snould Ceel Can acceot the specal erder when sales at the feouar price are evpected to be 70,000 units? 3. Now assume that all direct vanable costs are 20% higher and all indirect covts are 40 ts higher than orighaily stated in the set up bes. These cest increases eppir to both normal and special-order units. Fingly, assume the new cumterer has offered to increase as price to 510.00 (from the 57 co originaliy stated in the set up box), Using your spreatshent, calculate the amount by which total eperaung income increases or decreases if the srger is sccepted. 4. Should Cool Can accept tha specias order as desonbed in Requirement 3
Dont solve the entire problem. I just need help solving for requirment 1.
Please show your work and the formulas used to solve!
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