Question
For the problem involving special order analysis and consideration , based on the following numbers: the annual income without the special order the annual income
For the problem involving special order analysis and consideration, based on the following numbers:
- the annual income without the special order
- the annual income from the special order
- the combined annual income from the normal business and the new business
Should Calla Company accept the order or not? Why or why not? (Include the related screenshot from Connect supporting your answer to this question.)
For the problem involving make or buy analysis and consideration, explain your answer from the data analysis developed in Connect:
- the total incremental cost of making (manufacturing) the units of RX5;
- the total incremental cost of buying the units of RX5; and
- the dollar amount of the difference between the incremental cost of making and buying the units of RX5.
Should Haver Company make or buy RX5? Why or why not? (Include the related screenshots from Connect supporting your answer.)
For the problem involving sell or process further, explain your answer in detail based upon the data analysis prepared in Connect:
- the incremental income from Alternative 1;
- the incremental income from Alternative 2; and
- the incremental income from Alternative 3.
Which of the 3 alternatives should Harold Manufacturing choose? Ensure that you explain your answer. (Include the related screenshot from Connect supporting your answer to this question.)