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Goshford Company produces a single product and has capacity to produce 135,000 units per month Costs to produce its current sales of 108.000 units follow

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Goshford Company produces a single product and has capacity to produce 135,000 units per month Costs to produce its current sales of 108.000 units follow The regular seling price of the product is $138 per unit Management is approached by a new customer who wants to purchase 27.000 units of the product for $78 30 per unit. If the order is accepted, there will be no additional fixed manufacturing overhead and no additional fixed selling and administrative expenses. The customer is not in the company's regular selling territory, so there will be a $760 per unit shipping expense in addition to the regular variable selling and administrative expenses Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Variable selling and administrative expenses Fixed selling and administrative expenses Totals Per Unit $12.50 15.00 14.00 17.50 15.00 13.00 $67.00 Costs at 105,0 Units $1,350,000 1.620,000 1,512,000 1,890,000 1.620,00 1.400.000 $9,196,000 Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $78.30 per unit. Determine whether management should accept or reject the new business Complete this question by entering your answers in the tabs below. Net Income Accept or Feject Calculate the combined total net income if the company accepts the offer to sell additional units at the reduced price of $78.30 per unit Normal Volume Additional Volume Combined Total 5 0 Casts and expenses 0 0 0 0 D 0 Total costs and expenses Net Income (los) 0 09 S 05 Accept or Rect> education.com/ext/map/index.html?_conncon&external_browser=0&launchun http:253A252F%252Faceed bliekboard.com%252Fwebapp%252Fportals.25zFran nt (20 points) Saved Rios Co. makes drones and uses the variable cost approach in setting product prices. Its costs for producing 30,000 units follow. The company targets a profit of $310,000 on this product Variable costs per Unit Fixed Costs (in total) Direct materials $ 80 Overhead 5680,000 Direct Tabor 50 Selling 315,000 Overhead 35 Administrative 295,000 Selling 25 1. Compute the variable cost per unit 2 Compute the markup percentage on variable cost (Round percentage onswer to 2 decimal places.) 3. Compute the product's selling price using the variable cost method (Round your intermediate percentage calculations and final answer to 2 decimal places.) 1 Variable cost per unit 2. Markup percentage 3 Selling price 36

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