Homework: Week #3 Chapter #5 Homework Save HW Score: 89 7496, 26.92 of 30 pts 418 of 22 (21 complete) Score: 0 of 2 pts E5-36 (similar to) E Question Help for athletic teams. The B. D. Kaminski soccer club has offered to buy 120 jerseys for the teams in its league for Baltimore Athletic Supply (BAS) makes game jerseys f super jersey The team price for such erseys normaly is S18. a 80% markup over BASS purchase price of S10 per sey BAS adds name and til yo jersey at a variable cost of S1 per jersey The annual fixed cost of equioment used in the printing process is $5,200 $2.000 BAS makes about 1,800 jerseys per year, so the fixed cost is $4 per jersey The equipment is used only for printing jerseys and and other fixed costs allocated to jerseys are ide 75% of the usable time The manager of BAS turned doon the offer sying "1 w sellat $13 and our costi $15, we lose money on each jersey we sell. We would like to help your league, but can't afford to lose money on the sale. Read the requirements Requirement 1. Compute the amount by which the oporating income of BAS would change i it accepted B. D. Kaminski's offer by using the contribution-margin approach. (For amounts with a $0 balance, make sure to enter "0" in the appropriate cell) Effect of ts: Special Order miSt Units 120 Sales Less variable costs Purchase cos Variable printing cost Total variable costs Total fixed costs Operating income Acct Choose from any list or enter any number in the input fiekds and then click Check Answer Clear All Check Answer pply (BAS) makes game jerseys for athletic teams. The B. D. Kaminski soccer club has offered to buy 120 jerseys for eam price for such jerseys normally is $18, an 80% markup over BAS's purchase price of S10 per jersey BAS adds a nam ost of $1 per jersey. The annual fixed cost of equipment used in the printing process is $5,200, and other fixed costs alloca about 1,800 jerseys per year, so the fixed cost is $4 per jersey. The equipment is used only for printing jerseys and stands S turned down the offer, saying, "If we sell at $13 and our cost is $15, we lose money on each jersey we sell. We would like e money on the sale." nts mpute the amount by which the operating income of BAS would change if it accepted B. D. Kaminskis offer by using the c unts with a $0 balance, make sure to enter "O" in the appropriate cell) Effect of Special Order 120 Requirements ts: ng cos Requirements 1. Compute the amount by which the operating income of BAS would change if it accepted B. D. Kaminskis offer 2. Suppose you were the manager of BAS Would you accept the offer? In addition to considering the quantitative impact computed in requirement 1, list two qualitative considerations that would influence your decision-one qualitative factor supporting acceptance of the offer and one supporting rejection costs gin Print Done ny list or enter any number in the input fields and then click Check Answer Clear All Check Answe
