Foronam Question 1 - Chapter 3 equired He Chapter 13 Required Homework Saved Help Sa 1 50 points materials cost per bracelet by $4. Imperial Jewelers would also have to buy a special tool for $450 to apply the filigree to the bracelets. The special tool would have no other use once the special order is completed. To analyze this special order opportunity. Imperial Jewelers has determined that most of its manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However, $5.00 of the overhead is variable with respect to the number of bracelets produced. The company also believes that accepting this order would have no effect on its ability to produce and sell jewelry to other customers. Furthermore, the company could fulfill the wedding party's order using its existing manufacturing capacity Required: 1. What is the financial advantage (disadvantage) of accepting the special order from the wedding party? 2. Should the company accept the special order? eBook Hint Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 What is the financial advantage (disadvantage of accepting the special order from the wedding party? References ell, so please enter Required 2 > Financial (disadvantage) Financial advantage Mc Graw MI Prev 1 of 2 !!! Next > 1 Direct materials Direct labor Manufacturing overhead Unit product cost $149 85 37 $271 50 points eBook The members of a wedding party have approached Imperial Jewelers about buying 23 of these gold bracelets for the discounted pr of $366.00 each. The members of the wedding party would like special filigree applied to the bracelets that would increase the dire materials cost per bracelet by $4. Imperial Jewelers would also have to buy a special tool for $450 to apply the filigree to the bracelets. The special tool would have no other use once the special order is completed. To analyze this special order opportunity, Imperial Jewelers has determined that most of its manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However, $5.00 of the overhead is variable with resp to the number of bracelets produced. The company also believes that accepting this order would have no effect on its ability to produce and sell jewelry to other customers. Furthermore, the company could fulfill the wedding party's order using its existing manufacturing capacity Required: 1. What is the financial advantage (disadvantage) of accepting the special order from the wedding party? 2. Should the company accept the special order? Hint Print References Complete this question by entering your answers in the tabs below. Required 1 Required 2 Should the company accept the special order? Oros ONO (Mc Graw Hill
