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I am having trouble solving this two part question? DISCUSSION BOARD PROBLEMS - CHAPTER 25 PROBLEM 1 The condensed product-line income statement for Nueman Tableware

I am having trouble solving this two part question?

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DISCUSSION BOARD PROBLEMS - CHAPTER 25 PROBLEM 1 The condensed product-line income statement for Nueman Tableware Company for the month of December is as follows: Cups Bowls Plates Sales $26,900 $65,000 $89,400 Less: Cost of Goods Sold -14,800 -26,300 -32,800 Gross Profit $12,100 $38,700 $56,600 Less: Selling and Administrative Expenses -15,400 -29,400 -34,900 Net Income $9,300 $21,700 Fixed Costs are 15% of the cost of goods sold and 40% of the selling and administrative expenses. Nueman Tableware assumes that fixed costs would not be materially affected if the Cups line were discontinued. REQUIRED: 1. Prepare a differential analysis for December to determine if the Cups line should be continued or discontinued. 2. From your analysis in Requirement 1, should the Cups line be retained? PROBLEM 2 Murray Company has an annual plant capacity of 65,000 units, and current production is 45,000 units. Monthly fixed costs are $40,000, and variable costs are $25 per unit. The present selling price of its product is $35 per unit. On June 6th, the company received an offer from Norman Company for 15,000 units of product at $27 per unit. Norman Company will market the product in a foreign country under its own brand name. The additional business is not expected to affect the domestic selling price or quantity of sales of Murray Company. REQUIRED: 1. Prepare a differential analysis on whether Murray Company should accept or reject Norman Company's special order

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