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Jasmine, Inc. has received a special order for 500 oz. of perfume at $63.00 per oz. The buyer will provide their own perfume vials with

Jasmine, Inc. has received a special order for 500 oz. of perfume at $63.00 per oz. The buyer will provide their own perfume vials with labels, thereby saving the company $2 per oz in variable costs. The product normally sells of $82.50 per oz. and the company is currently selling 12,000 oz per month. The following information is available about Jasmine, Inc.

Normal sales revenue per oz $82.50
Variable expenses per oz $57.75
Allocated fixed expenses per oz $21.00

Assuming Jasmine has the capacity to accept the special order, the impact on profits is a Blank______.

Multiple choice questions.

$3,625 increase

$2,625 increase

$31,500 increase

$6,875 decrease

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