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Johnson Company manufactures a variety of shoes and has received a special one - time - only order directly from a wholesaler. Johnson has sufficient
Johnson Company manufactures a variety of shoes and has received a special onetimeonly order directly from a wholesaler. Johnson has sufficient idle capacity to accept the special order to manufacture pairs of sneakers at a price of $ per pair. Johnsons normal selling price is $ per pair of sneakers. Variable manufacturing costs are $ per pair and fixed manufacturing costs are $ per pair. Johnsons variable selling expense for its normal line of sneakers is $ per pair. What would be the effect on Johnsons operating income if the company accepted the special order? Decrease by $ Increase by $ Increase by $ Increase by $
Johnson Company manufactures a variety of shoes and has received a special onetimeonly order directly from a wholesaler. Johnson has sufficient idle capacity to accept the special order to manufacture pairs of sneakers at a price of $ per pair. Johnsons normal selling price is $ per pair of sneakers. Variable manufacturing costs are $ per pair and fixed manufacturing costs are $ per pair. Johnsons variable selling expense for its normal line of sneakers is $ per pair. What would be the effect on Johnsons operating income if the company accepted the special order?
Decrease by $
Increase by $
Increase by $
Increase by $
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