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Exereise 13-9 (Algo) Special Order Decision [LO13-4] Deita Company produces a single product. The cost of producing and selling a single unit of this product

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Exereise 13-9 (Algo) Special Order Decision [LO13-4] Deita Company produces a single product. The cost of producing and selling a single unit of this product at the company's nocimal activity level of 104,400 units per yeat is: The normal selling price is $24,00 per-unit. The company's capacity is 130,800 units per year. An order has been recelved from a mai order house for 2,200 unnts at a special price of $21,00 per unit. This order would not affect regular sales or the company's totai fixed costs. Required: 1. What is the financial advantage (disadvantage) of accepting the speclal order? 2. As a separate matter from the special ordec, assume the company's inventory includes 1,000 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 the inferior units? Complete this question by entering your answers in the tabs below. What is the financial advantage (Gisadvantage) of accepeing the speclal order? The normal selling price is $24.00 per unit. The company's capacity is 130.800 units per year. An order has been received fro rder house for 2,200 units at a special price of $21.00 per unit. This order would not affect regular sales or the company's to costs. Required: 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 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 price company does not expect the selling of these inferior units to have any effect on the sales of its current model. What unit cost i 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 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 the inferior units? (Round your answer to 2 decimal places.)

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